Charles Brecher of the New York Daily News gives reader five way New York City can cut cost without having to reduce its workforce.

“Mayor Bloomberg’s preliminary budget presents a “doomsday scenario” in which more than 18,000 city employees - including 7,019 teachers, 3,150 police officers and 1,050 firefighters - will have to be laid off due to state funding cuts.

But if five far more painless changes are made, those jobs can be saved and major hits to the quality of life can be spared - even if the state slashes its aid. These proposals would save nearly $2 billion annually without reducing city services.

To find out what these five changes are click here.

Doug Schneider and Joseph Spector report on Pressconnects.com - “New York’s unemployment might be at near-record levels, but the number of state workers earning six-figure incomes continues to grow significantly and reached a record level last year.

More than 23,000 state employees - including hundreds in the Southern Tier - were paid more than $100,000 in 2009. In a year when unemployment figures hovered near double digits and a multi-billion-dollar budget deficit loomed, the number of six-figure earners on the state payroll increased by 16 percent after jumping 28 percent the previous year.”

To read more click here.

A sample of reaction to Gov. David Paterson’s State of the State address on Jan. 6 from MSN Money.com:

Kenneth Adams, president and CEO, The Business Council of New York State Inc.
“Gov. David Paterson’s call to reform state finances must be taken seriously by the state Legislature to allow our economy to recover.

“The Business Council supports the creation of a new flagship economic development program to replace the Empire Zone program that targets business important to the growth of our economy and with statewide eligibility.

“However, the governor’s plan falls short in supporting new capital investment and job retention by New York companies. Significant capital investment by in-state companies that help them become more competitive and retain jobs in the state should also be a component of the program.”

To read more of what Kenneth Adams had to say click here.

Brian Sampson, executive director, Unshackle Upstate
“Right now, the governor is talking a good game, even calling out special interests. But this is just what we heard last year, and last year we had the biggest budget blunder in our history! He must keep in mind that New Yorkers want their financial burden drastically lowered, period.

“This year, the governor must hold the line and push back against Albany’s typical tax and spend policies. Anything less is unacceptable.”

Billy Easton, executive director, Alliance for Quality Education
“Gov. Paterson is proposing to create an economic recovery based on knowledge, technology and innovation, but he has a consistent record of proposing education cuts that will deny to many of New York state’s children the education needed to succeed. Paterson has also highlighted the need for real property tax reform, but if he turns around and proposes school aid cuts, then his budget will mean higher, not lower, property taxes for New Yorkers.”

To read more of what other leaders from around the state thought of the Governor’s address click here.

Ezra Kleinv of the Washington Post writes about what has and is still happening in California may soon happen in other States including New York.

“We Californians pride ourselves on the crystal-ball quality of our state. Auto emissions regulations, the tech boom and bust, Ronald Reagan, Hispanic immigration, the anti-tax revolt, the mortgage bubble, the struggle for gay rights, most movies, the popularity of Richard Nixon, the unpopularity of Richard Nixon, plastic surgery, and Tiger Woods’s marital problems were all tested in the Golden State before being released to audiences nationwide.

The next likely item on that list is not a happy one, however. California is in a total fiscal crisis. It’s had to slash state services to the bone and will have to cut further. It’s gutted the University of California and lost its credit rating. David Paterson, the governor of New York, casually mentioned that he thinks California might default on its debt. That’s bad enough, as it could drag down the national recovery. But what’s worse is that this picture is probably coming to a theater near, well, all of us.”

To read more click here.

The New York Times presents three viewpoints on the deep-seeded financial problems that have surrounded the MTA for many years. As stated in today’s opinion section -”The current financial crisis came up quickly as expected revenues plummeted. For riders, the M.T.A. seems to be in perpetual trouble, with threats of fare increases and service cuts even in good times. A 7.5 percent fare increase is already scheduled for 2011. Strong union contracts and an aging infrastructure make cost control challenging. What savings and efficiencies might be achieved immediately, and what cuts need to be done in the out years?

The three presentors are:

To read what they have to say about the current crisis and how it may have come about click here.

Frank Lombardi writes from the Daily News City Hall Bureau about the City Councils overwhelming vote to reject a plan to develop the long-vacant Kingsbridge Armory in the Bronx.

“The normally tame City Council turned tiger Monday on Mayor Bloomberg and one of his favored developers.

In an unprecedented rebuff of a development project pushed by the mayor, the Council voted, 45 to 1, to reject a $324 million shopping mall earmarked for the long-vacant Kingsbridge Armory in the Bronx.

The deal breaker: Local officials wanted the developers to ensure that retail workers in the mall would be paid a “living wage” of $10 an hour with benefits, or $11.50 without benefits. Bloomberg and the developer, the Related Cos., refused.”

Bloomberg, in Copenhagen for the climate change summit, said the rejection means the loss of more than 2,200 construction and full-time jobs and more than $300 million in private investment in the Bronx.”

To read the rest of the story click here.

Also, in the Daily News, Bob Kappstatter tells read that the real deal killer was that living-wage argument.

Some win while others lose after Kingsbridge Armory deal gets scrapped

“Who woulda thunk it?

The City Council Monday torpedoed the city’s plans to put the Kingsbridge Armory under developer The Related Companies’ Christmas tree, along with $40 million to $60 million in tax breaks and renovations as stocking stuffers.

While the technical reason for killing the deal rested on traffic issues, the real deal killer was that living-wage argument that retail workers deserve $10 an hour plus benefits.

Those involved said an eleventh-hour compromise pushed by Deputy Mayor Robert Lieber to set up “a special fund” to make up the difference from minimum wage was “put together with just too much spit and glue” and boiled down to a welfare giveaway.

Read more the rest of the article click here.

The New York State Department of Labor has changed its new hire wage and overtime pay rate reporting requirements, making the use of its new wage rate reporting form voluntary instead of mandatory.

On October 26, 2009, a new requirement charged employers with notifying newly hired employees in writing of their wage rate, overtime pay rate and designated pay day. Previously, there was no requirement that they be in writing. In October, the labor department also posted information on its website stating that use of and completion of a department designed reporting form was mandatory.

I’m pleased to report that the labor department has changed its position and has made use of its form voluntary.

Here is the link to the new information and the optional form.

Please contact Tom Minnick on the HR Line at 800.332.2117 with further questions about this new pay rate notification compliance.

Melonie Trottman writes in today’s Wall St. Journal - “Labor Secretary Hilda Solis has spent her first few months in office focusing on handing out $46 billion in stimulus money. Now, her department is adding staff and signaling it will soon begin putting in practice the more assertive regulation of business she promised early in her tenure.

Ms. Solis has begun hiring 670 new investigators to enforce labor regulations.

There will be 150 investigators added in the Wage and Hour division to enforce wage rules and child-labor laws. Another 100 staff will be added to ensure contractors on stimulus projects are in compliance with applicable laws. The additions will boost the division’s staff by more than one-third…

The Obama administration is also naming more of the people who will hold senior posts in the Labor Department, few of whom have business backgrounds, a shift from most of former President Bush’s appointees.

M. Patricia Smith, the nominee to be the department’s top lawyer, is commissioner for New York State’s labor department, and is known as a tough regulator who has stepped up worker protection.”

To read the entire story click here.

Steve Greenhouse of the New York Times writes - “For the first time in decades, General Electric is adding new operations at two of its manufacturing hubs, underlining what the company says is a new commitment to producing in the United States.

G.E. is building a 350-employee plant in Schenectady, N.Y., to make high-density batteries that will turn many locomotives into diesel-electric hybrids. And in Louisville, Ky., it is adding a factory that will employ 420 workers to produce hybrid electric water heaters — heaters now made in China.

The two moves by G.E., often accused of being too quick to close plants and move operations overseas, came only after its unions agreed to keep costs down by swallowing painful concessions, including a two-tier wage structure.

Jeffrey R. Immelt, G.E.’s chief executive, said the two new operations are part of his campaign to get corporate America to strengthen and expand manufacturing in the United States.”

To read the rest of the story click here.

Brian Tumulty writes on LoHud.com - “New York’s unemployment rate climbed almost a full percentage point - from 7.8 percent to 8.7 percent - between the February enactment of the economic stimulus package and the most recent jobless estimate for June.

And there’s no sign unemployment will level off quickly, economists say.

But White House officials say the stimulus package, touted as a way to create more than 3 million jobs over two years, remains on track.
The unemployment rate might have risen three-tenths of a percent higher than the current national rate of 9.5 percent without the stimulus legislation, said Jared Bernstein, chief economist for Vice President Joe Biden.

Biden has been assigned by President Barack Obama to oversee implementation of the two-year effort to jump-start the economy.
Bernstein and Edward DeSeve, who also advises Biden on the legislation, declined during a recent briefing with reporters to estimate how many jobs have been saved or created in New York. DeSeve noted that government agencies, local governments and companies that receive stimulus funds will be required to report on jobs attributable to the bill by Oct. 10.”

To read the rest of the story click here.