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Labor and Workforce (39)
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MOU Fiscal Analysis: Bargaining Units 10 (Professional Scientists) and 18 (Psychiatric Technician)

Sep 9, 2025 - We discuss these challenges in our 2024 analysis of the most recently ratified Unit 10 MOU. Pay Increases Established by 2024 MOU Not Funded in 2025-26 Budget. The Unit 10 MOU that the Legislature ratified in 2024 included pay increases in 2025-26.
https://lao.ca.gov/Publications/Report/5073

MOU Fiscal Analysis: Bargaining Unit 8 (Firefighters)

Aug 19, 2025 - …Likely Resulting in Net Costs to State Beginning in 2025-26. If overtime payments in 2025-26 reflected overtime payments in 2024, the 2.5  percent GSI would increase state expenditures for overtime by more than $7  million.
https://lao.ca.gov/Publications/Report/5066

MOU Fiscal Analysis: Bargaining Unit 6 (Corrections)

Jun 23, 2025 - In calendar year 2024, overtime among Unit 6 members cost $414.9  million —about 18  percent of the regular pay cost for Unit 6 during the same time period. Because overtime payments are based on an employee ’s salary, the agreement could lead to higher overtime costs through higher salaries beginning in 2025-26.
https://lao.ca.gov/Publications/Report/5058

MOU Fiscal Analysis: Bargaining Unit 9 (Professional Engineers)

Jun 27, 2025 - As of December 2024, Unit 9 members have 474,357 unused furlough or PLP leave hours in their leave balances. Other Post-Employment Benefits (OPEB) Rising Cost. OPEB in state employee compensation consists of retiree health benefits.
https://lao.ca.gov/Publications/Report/5061

The 2024-25 Budget: State Employee Compensation

Mar 21, 2024 - Proposal Defer June 2025 Payroll to July. The Governor proposes deferring the June 2025 payroll to July. Similar to how the 2009 ‑10 payroll deferral operated, this would result in the state paying 11 months of payroll in 2024 ‑25 and, beginning in 2025 ‑26, state accounting reports in future fiscal years would include June payroll from the preceding fiscal year through May of the current fiscal year.
https://lao.ca.gov/Publications/Report/4888

MOU Fiscal Analysis: Bargaining Unit 8 (Firefighters)

Aug 14, 2024 - This SSA does not apply to specialty classes. 2024-25 SSA for Specialty Classes. Effective the first day of the pay period following ratification or November 1, 2024, whichever is later, the proposed agreement would provide specified specialty classifications an SSA of 8.5  percent. 2025-26 General Salary Increase (GSI).
https://lao.ca.gov/Publications/Report/4919

MOU Fiscal Analysis: Bargaining Unit 12 (Craft and Maintenance)

Jun 27, 2025 - As of December 2024, Unit 12 members have 41,000 unused furlough or PLP leave hours in their leave balances. Other Post-Employment Benefits (OPEB) Rising Cost. OPEB in state employee compensation consists of retiree health benefits.
https://lao.ca.gov/Publications/Report/5060

MOU Fiscal Analysis: Bargaining Unit 16 (Physicians, Dentists, and Podiatrists)

Jul 14, 2025 - Between 2000-01 and 2024-25, the state ’s inflation-adjusted General Fund pay-as-you-go cost towards these benefits increased by more than 250  percent to $2.8  billion. The largest factors driving these cost increases have been (1)  the rapid growth in health premiums and (2)  the growing number of people receiving the benefit as more employees retire and people live longer in retirement.
https://lao.ca.gov/Publications/Report/5064

MOU Fiscal Analysis: Bargaining Unit 10 (Professional Scientific)

Aug 14, 2024 - The proposed agreement would increase all other steps of Unit 10 classifications by 3  percent on three instances: July 1 of 2024, 2025, and 2026. Employees who are not at the top step of their salary range would receive these pay increases as SSAs.
https://lao.ca.gov/Publications/Report/4918

MOU Fiscal Analysis: Bargaining Unit 12 (Craft and Maintenance)

Sep 1, 2023 - The payments would be made in January 2024, August 2024, January 2025, August 2025, January 2026, and August 2026. Over the course of the agreement, employees could receive up to $3,600 from these payments.
https://lao.ca.gov/Publications/Report/4798