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San Jose unions agree to concessions

May 18, 2010 12:17:14 AM PDT
Unions in San Jose Monday announced their own plan to avoid massive layoffs in light of the city's $116 million budget deficit.

Mayor Chuck Reed wants to close part of the budget gap with $60 million in employee salary cuts and layoffs.

Seven of San Jose's unions announced Monday that they were willing to give up some of their salaries and benefits, but four of the unions were absent.

Some city officials were on hand Monday at the press conference held by the unions and offered praise of the plan.

"This proposal demonstrates very clearly that our employees are willing to make necessary sacrifices so that we can continue to provide the vital services to our residents that so many depend upon," City Council member Nancy Pyle said.

Reed says it is not going to be enough.

"Well, it's definitely not enough, because we need to close $116 million gap; their $25 million proposal, assuming that they're worth $25 million, is not enough to cover what we have to deal with in service reductions and cuts in services to close that gap," he said.

The $25 million in concessions that were announced Monday must be accepted by the City Council and the mayor, and then the union members must ratify the proposal.


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