What the state employee unions are doing

Have you wondered why the unions for state employees are all filing separate but similar motions to have the courts review the furlough plan? Insiders in the Hawaii legal community say there is a simple explanation. There are several judges who could rule on the legality of the furlough plans, and it is reasonable to assume that lawyers for both the unions and the state have their own ideas about which judges, based on past ruling, would likely be sympathetic to their side. I wouldn't bet on their being right, mind you; most judges, especially the best ones, are unpredictable. But still. Judge Carl Sakamoto bit. He has agreed to give the issue a hearing on July 2, one day after the furlough plan technically begins and a few days before the first actual furloughs. And what will the legal issue be? The union lawyers say Hawaii is one of only five states with collective bargaining protections hard-wired into the state constitution. It's not clear to me that this precludes the governor cutting back hours due to lack of funding, because the last collective bargaining agreements specifically reserved to her, "the public employer," the right to "release" employees for lack of funds. But the point, at this point, is that the unions will argue that this should be decided by a judge since, as they will argue, it's a constitutional issue. The biggest fear that the unions should have is pyrrhic victory: a slapdown order killing the furloughs, leaving the governor with no option but to "release" employees altogether -- the layoff card. A more likely outcome is that the two sides, already in contract negotiations with a federal mediator helping out, will work out some kind of revised version of the current plan, possibly with the legislature raising taxes again, especially if lawmakers don't care about being re-elected.

Comments

[j.k.]

From what I can see, it's a fine mess. I do hope that both sides can come to the best, comporable agreement and settle outside court. *thinks* Who pays for the court fees anyway? Isn't that spending more money?

[Jim Flint]

I find it interesting, throughout these discussions, that no one has revisited the state auditor reports of massive amounts of money that cannot be accounted for. I heard the other evening that the BOE is pushing for a raise in the GET (piggybacking on the union mantra) to help the situation. Yet, that very body is probably the premier offender in monies unaccounted for. And, as I recall, the superintendent, and the board was up on their collective haunches when called on it. (Clearly the sunshine law does not apply). Where are all of the unaccounted for funds? And what roll do the unions play in the disparity.
This whole thing is only going to be good for the lawyers. Let's see how long a ride they get on this wave.

[Della Au Belatti]

Aloha Howard!

I love to read your blogs and I listen avidly for your comments on the state of Hawaii's economy. However, the last paragraph was a bit too flippant for me as to what options are available to the Legislature.

The call to raise taxes is definitely being sounded, but equally so is the plea NOT to raise taxes. There are other options, possibly all equally tough, that are available to the Legislature: program cuts, tapping into special funds, encouraging early opt-out/retirement options. This will all be considered, of course, in the context of what is negotiated between the Governor and the public unions.

What is the more or most likely outcome is very unclear to me. The moving pieces to this budget crisis is complicated as you have you suggested elsewhere.

Addressing this crisis and, hopefully, solving the more vexing problem of stabilizing and positioning Hawaii's economy involves so many arenas: negotiations behind closed doors with the federal mediator and the public-sector unions; court battles and publicity campaigns waged publicly while time ticks away toward the expiration of the current collective bargaining agreements; and, yes, the Legislature - whether sometime this year, but most definitely in 2010, when the Governor the Legislature will be called upon to addresss even further falling revenues.

How this all unfolds and how we reach an ultimate resolution worries this legislator each every day.