Idaho and California Deal with Budget Shortfalls; Workers Face Repercussions - 01/05/09

Idaho is the most recent state to roll out budget plans for the new year. In the proposal by Idaho Governor C.L. Otter nearly 100 state employees could be laid off and some positions could see their workweek reduced to four days. California also continues to struggle with a major budget shortfall and the state is warning that money could run out as early as February. If that happens, workers might not get paid. The proposed budget that will begin negotiations in the state legislature today, could result in thousands of layoffs as Governor Arnold Schwarzenegger calls for 10 percent cuts at state agencies. One of his other plans, which call for two unpaid furloughs for workers, is the target of a lawsuit filed by unions representing state workers.