After a week of contentious negotiations between Local 1000 and management, State Fund has announced that layoffs have been cancelled. 267 jobs were set to be cut at the end of May.

"We've told management all along that the cuts they wanted to make were too deep and would negatively impact the entire state," said Sophia Perkins, chair of Bargaining Unit 4. "Our message finally got through to them. Our lobbying efforts with State Fund Board members and legislators worked."

"They made some outrageous demands at the bargaining table, but we continued to push until we saved our members' jobs," said Brenda Modkins, chair of Bargaining Unit 1.

Local 1000 members at the Department of Mental Health (DMH) delivered nearly 1,000 signatures to Kathy Gaither, DMH Chief Deputy Director, demanding improved collaboration and communication as the department makes program and staff reductions.

"I'm highly concerned at the way DMH has kept its staff at arms-length throughout this process," said Kim Cowart, registered nurse and chair of Bargaining Unit 17. "DMH wants to make changes and slash the budget, but they won't be successful without the input of staff."

DMH wants to save $180 million in this budget year. In addition to the program and staff reductions, the department is making sweeping changes to its administration of care in state hospitals as it moves to create a new department.

Local 1000 action reverses DMV decision

State Fund management will delay the department's layoff date from April 30 to May 30

"Obviously we're happy that management has extended the layoff date," said Brenda Modkins, chair of bargaining unit 1. "It gives impacted employees more time to look for new employment."

Modkins says she's especially appreciative of the hundreds of Local 1000 members who signed petitions or contacted State Fund Board members, telling them that the layoffs are happening too fast and too deep.  

Local 1000 is working hard to mitigate the remaining layoffs, despite the department's continued refusal to use all of its vacancies to alleviate layoffs and end outsourcing contracts. New bargaining dates are scheduled for March 26 and 27th.

"This is a complex layoff situation," said Sophia Perkins, chair of bargaining unit 4. "The extension will allow Local 1000 to more carefully monitor State Fund's procedures and make sure the remaining layoffs are in full compliance with our agreement."

Last December, State Fund proposed to lay off 1500-1800 employees. More than 900 employees took a Local 1000 negotiated transition package - the first time in state service that such an option was provided.  Hard work has reduced the layoff numbers to 356.

Members organize to meet realignment challenges & plan for the future of corrections

Send an email to State Fund board members demanding they re-evaluate SCIF's options, visit worksites to see how the work is done, and speak face-to-face with you.  

Sample email:

Dear Member of the Board of Directors: I am reaching out to you as a devoted State Fund employee and a witness to the severe changes that continue to take place at my worksite and across the state. State Fund set out to restructure its enterprise to achieve long-term goals of greater efficiency and competitiveness.  I understand that to survive State Fund must improve how it does business.  But reducing costs through staff reductions is not the same as improving business practices or achieving efficiencies. Sound decisions are not being made by State Fund executives and I need you to be more involved in the process. These are some of the problems I am witnessing: We have lost too many experienced workers and the loss of expertise is being felt at every office and in every program.  Layoffs will further deplete State Fund's skill set. State Fund will continue in a downward spiral if cuts in employment continue. State Fund's capacity for quality client services and timely product delivery has eroded since the completion of the Transition package. Customer service is flooded with delays. Employees who are on the layoff list haven't been provided with training to help them compete in a job market requiring fewer administrative support positions. Close to half the worksites are on overtime - in some cases it is mandatory. Vacations has frozen because programs cannot run without all remaining staff.  Missed payments and delayed processing has become a new standard.  The utilization review for many costly medical procedures has become a "stamp-and-approve" process. Critical functions like auditing, bill processing, claims management and investigations are being eliminated or outsourced to private vendors. Employees who remain after the layoffs, especially those in support and entry-level positions, aren't being given opportunities to train for SCIF jobs that require advanced skill sets. Increased overtime is being required of an already exhausted workforce barely able to keep up with a growing backlog of work. If layoffs continue as planned, we expect that the level of chaos will grow further. I urge you to travel to my worksite and see how the work is done. I'll even make sure arrangements are made for your visit. Contact Randall Cheek at 916.554.1232 and set up a visit. Thank you for your attention, patience and time.

'Highlighting state's dependency on 'Hidden Branch of Government'-- contracting out

At a hearing legislators agreed to convene at Local 1000's urging, members told an Assembly budget subcommittee that the state depends too much on expensive private contractors for work our members can do more efficiently for less.

"Private vendors monopolize work that should be performed by state employees," said Margarita Maldonado, Local 1000 vice president for bargaining, at the Feb. 21 hearing on government contracting.

"Vendors come in on a temporary basis but routinely get their contracts extended and extended, creating a situation where the state becomes dependent on contractors to do work that should be handled by our members."

Maldonado and three other members testified at the meeting, as did other employee groups.

A loss in federal funding is responsible for the cuts in Permanent Intermittent (PI) hours in Workforce Services (WS)

"The PIs in my office are looking for work," said Michael Murano, steward at EDD in San Francisco. "They can't survive on 100 hours a month."

Murano says some PIs are being forced to leave state service altogether.

"There appears to be a lack of planning," Murano says. "Management is forcing the PIs onto the streets without considering other staffing issues."

These cuts and the overall status of the EDD budget prompted Local 1000 stewards to meet February 23rd with EDD's budget experts.

State fund workers speak out against mismanagement

Local 1000 members at the State Compensation Insurance Fund (SCIF) are joining together across California to demand that SCIF board members examine staffing levels, outsourcing initiatives and executive bonuses as hundreds face layoffs as part of the agency's new business model.

Since last fall there have been a steady stream of workplace actions as members have pushed management to be more responsive. In December, members held a rally in San Francisco and spoke at a board meeting. In late January and early February, members held "Thumbs Down" rallies at workplaces throughout California.

On Feb. 16, dozens of Local 1000 members rallied at the State Fund offices in Pleasanton before traveling to the SCIF board meeting. At the meeting, Local 1000 reminded board members of our attempts to work together to find solutions that benefit all parties -- California's injured workers, Local 1000 members and management. However, recent board actions have brought that relationship into question.