PEF President sets record straight at hearing on work force issues
Albany -
The president of the New York State Public Employees Federation (PEF) testified
today before the state Assembly Ways and Means and Senate Finance Committees on
work force issues setting the record straight on the size of the state work
force and how it affects state spending. PEF President Kenneth Brynien also laid
out a detailed plan for how the state can save hundreds of millions of dollars
without eliminating jobs and services.
“There has been no growth in the size of the state work force, yet the proposed
budget is striking, once again, at the public servants who deliver vital
services,” Brynien said. “If the proposed budget is enacted, the state work
force will be the same size it was 10 years ago and more than 15,000 positions
fewer than in 1994, despite an increased need for state services,” Brynien said.
Brynien pointed out the budget proposal includes a $250 million cut in the
salary and benefits of state employees while agencies continue to increase
spending on private consultants that already cost more than state employees.
“New York State continues to pay thousands of consultants performing
professional services an average of $160,719 annually. That’s 62 percent more
than it cost to have state employees do similar work, including the cost of
their benefits,” Brynien testified.
Brynien also said the proposal to eliminate salary increases and to lag pay
violate negotiated labor agreements, noting contracts negotiated in good faith
must be honored.
PEF proposed ways to achieve the work force savings identified in the Executive
Budget proposal, but without the negative effects that would come from cutting
state services, and still honoring the state’s contractual commitments to its
employees.
“This can be achieved by: instituting a consultant-reduction plan to save $656
million over the next three years; expanding the voluntary severance program;
instituting a Workplace Injury Reduction Program to reduce workers compensation
costs; and reducing overtime costs by 60 percent by hiring entry-level state
employees for a savings of $33.5 million annually,” Brynien said.
PEF President to testify on state work force issues
Albany -
The President of the New York State Public Employees Federation (PEF) will
provide testimony at the Assembly Ways and Means and Senate Finance Committees
hearing on state work force issues.
PEF President
Kenneth Brynien will testify on the impact the governor’s budget proposal will
have on state services and state employees. Brynien will also offer several
alternatives to the governor’s proposal to cut $250 million from salary and
benefits of state employees. PEF’s plan identifies several options that will
payfor the cost of employee salary givebacks the governor is demanding and the
other restorations PEF is seeking.
Assembly Ways and Means and Senate Finance Committees
Hearing on state work force issues
Wednesday, February 10, 2010
9:30 a.m.
Hearing Room B
Legislative Office Building, Albany, NY
Statement by PEF President Kenneth Brynien on proposed state budget
ALBANY, NY (01/19/2010)-- The
governor's proposed 2010-11 budget calls for a quarter of a billion dollars in
negotiated give-backs from state employees, when the savings could easily be
achieved by reducing the state's reliance on costly private consultants,
instead.
The New York State Public
Employees Federation (PEF) applauds the governor for recognizing savings can be
achieved by reducing the use of consultants. The governor recently proposed to
reduce the use of information technology consultants for an estimated savings of
as much as $15 million per year.The governor also identifies a savings in his
proposed budget by reducing the state's use of more costly private contract
insurance examiners.
However, the governor's
consultant reduction plan is only the tip of the iceberg and does not go far
enough. Our more aggressive proposal to cut the use of consultants
across-the-board in state government can easily achieve the quarter of a billion
dollars the governor is targeting from the state work force to close the budget
gap.
I cannot and will not go to my
members and ask them to reopen the contract we negotiated with the state in good
faith when many of my members are sitting alongside more costly private
contractors doing the same work. However, we are always willing to discuss
issues that do not involve reopening our contract.
We await more details on the
closures and consolidations the governor is proposing for the Office of Children
and Family Services. We will seek to preserve the vital services our members
provide to the state's troubled youths and ensure that troubled and sometimes
dangerous youths are not recklessly cast into our communities without adequate
support.
PEF has identified significant
potential savings for the state, such as the reduction in the use of consultants
and reducing workplace injuries and their associated costs and has communicated
these proposals to the governor.
PEF plan reveals millions in cost-savings
Albany - The New York State Public
Employees Federation (PEF) today released comprehensive research that reveals
the state can save $656 million over three years by implementing PEF’s
cost-savings recommendations. The research also includes examples of
irresponsible uncontrolled spending by some state agencies, a complete disregard
of state law by others, and sloppy and incomplete record keeping by many.
“At a time when the state is facing severe fiscal constraints, spending on
consultants rose to $2.9 billion; a $100 million increase,” said PEF President
Kenneth Brynien. “That’s the equivalent of 23,329 full-time consultants working
for the state, over 2,500 more consultants than the previous fiscal year. If
that many state employees were added to the payroll during this fiscal crisis,
there would be outrage.”
PEF’s research revealed some state agencies incurred astronomical consultant
costs. The Racing Association Oversight Board paid a New York City law firm
$689,901 for 1,275.40 hours of legal services which breaks out to $541 an hour.
The same board paid paralegals even more. The law firm billed the state $51,535
for 93.20 hours of work by paralegals. That comes to $553 an hour! These are
just some of the examples of irresponsible spending.
The biggest savings is in replacing Information Technology (IT) and engineering
consultants with state employees. This week, the governor announced an effort to
in-source IT consultants for an estimated savings of as much as $3 million.
While we applaud the governors acknowledgement of what PEF has been saying for
years that state employees can do the same work for much less than consultant,
the governors plan doesn’t go far enough. PEF’s proposal to cut the use of IT
consultants is much more aggressive and can save the state a minimum of $116.9
million by replacing half of the IT consultants with state employees. Our plan
to replace engineering consultants can achieve a minimum savings of $95 million
annually.
The potential future savings from PEF’s consultant reduction plan could be even
more because only 20 percent of total consultant expenditures are filed properly
with the state Comptrollers Office as required by the contract disclosure law.
Some reports that were filed are so riddled with errors and typos that the New
York State Research Foundation reported paying a consultant less than a penny
per hour.
“This out-of-control spending, and improper and sloppy filing is costing the
state millions. New York’s professional workforce has come up with ways to
change that. Now it’s up to the governor and legislative leaders to make that
change happen,” Brynien said.
PEF is the state’s second-largest state-employee union, representing 59,000 professional, scientific and technical employees.
PEF Statement on State of the State
Albany - “The New York State Public Employees Federation
(PEF) is very supportive of the governor’s initiatives to build New York’s
economy,” said PEF President Kenneth Brynien.
“We are optimistic the governor’s call to merge agencies
that duplicate services is directed to New York’s shadow government of
unaccountable and off-budget authorities. PEF members know where these cuts can
be made and how best to achieve efficiencies through mergers.
“As the details of the budget unfold, we stand ready to
offer the governor and the state’s taxpayers savings that will help close the
state’s budget gap while maintaining the vital services New York’s citizens rely
on.
“We look forward to working with the governor and have, in
fact, shared with him many ways to save money and make the state more efficient
particularly in the area of reducing wasteful contracting-out.
“We remain hopeful when the Executive Budget is released
some of our cost-saving proposals will be included,” Brynien said.
PEF is the state’s second-largest state-employee union, representing 59,000 professional, scientific and technical employees.