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State Worker

The State Worker: Bad economy seen limiting gains in pay

Published: Thursday, Oct. 2, 2008 - 12:00 am | Page 3A
Last Modified: Thursday, Oct. 2, 2008 - 2:35 pm

The state's budget fight is over, but thousands of workers like Pepper Lewis are still waiting for a new labor contract. She'd like a raise – who wouldn't? – but she's not expecting much.

Of the state's 21 bargaining units, 19 are in contract talks. Folks on both sides of the table know money is tight: The rotten housing market, rising unemployment, sluggish consumer spending and tightening credit markets have dragged down the state's financial health. Lewis, 51, who processes mobile home titles, figures her next labor deal won't be much better than the $3,209 per month she earns now.

"Honestly, I doubt we'll get a raise because of the economy," says the Service Employees International Union activist. If she's right, it will undoubtedly tick off thousands of state workers who say they're getting stiffed.

The job market agrees. A recently released survey by the Department of Personnel Administration shows that state workers' "total compensation" – pay plus retirement, medical insurance and other benefits – usually lag behind what California city, county and federal workers get.

Some jobs buck the trend. A state clinical social worker's pay and benefits top out at $8,316 per month, about 13 percent above the median maximum compensation of $7,248 that other public social workers get. A few other state jobs beat the survey median by 8 percent to 15 percent. (The median is where half the compensation packages are worth more and half are worth less.)

But most jobs fall short. An account clerk's max compensation is $4,074, a nearly 20 percent lag. Veterinarians' maximum package is $8,056, off about 18 percent. A state staff analyst's pay and benefits equals $5,764, off nearly 9 percent.

Compensation for legal typists, security guards, staff services managers and road maintenance workers runs between 13 percent and 16 percent less.

Which isn't necessarily a bad thing, says state work force policy expert Jason Dickerson of the Legislative Analyst's Office. "If the state can pay less than other government employers and still get enough good people to get the job done, it should," he said. "If it needs to pay more, it should pay more."

Private sector comparisons would give a more complete picture, but most companies won't release total compensation data, Dickerson says. Still, the survey "is pretty good," and he expects union negotiators will use it in contract talks.

But then there's that pesky $1 billion hole already in next year's state budget. And that's the sunny forecast.

"The state's financial situation is so problematic that it's unclear when the state could afford an employee pay increase," Dickerson said.

So watch for the next contracts to slightly boost things like paid time off or other perks that don't swell paychecks.

"It's a standard approach," said DPA spokeswoman Lynelle Jolley. "When money's tight, the parties talk about non-financial issues that concern employees."


Call The Bee's Jon Ortiz, (916) 321-1043. Read his blog, The State Worker, at www.sacbee.com/blogs.


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