MOU Fiscal Analysis: Bargaining Unit 6 (Corrections)

Jun 23, 2025 - Further, it creates a precedent for (1)  other bargaining units this year to adopt similar actions and (2)  future Governors to see this action as an acceptable trade-off to address future budget problems.
https://lao.ca.gov/Publications/Report/5058

Addressing California's Key Liabilities [Publication Details]

May 7, 2014 - In general, we suggest that the Legislature prioritize actions to pay down those liabilities (1) with relatively high interest rates or (2) that result in benefits for groups or entities other than the state government.
https://lao.ca.gov/Publications/Detail/3011

Climate Change Impacts Across California - Workers and Employers

Apr 5, 2022 - Significant Existing Efforts and Funding The state has already undertaken some actions to address the climate change impacts described above, such as adopting workplace safety standards regarding extreme heat and wildfires.
https://lao.ca.gov/Publications/Report/4587

MOU Analysis: Unit 10 (Professional Scientific)

Jan 30, 2023 - Deferring action on the Unit 10 agreement would allow the Legislature to ensure the agreement aligns with other agreements across the other 14 units. Moreover, deferring action would avoid approving a labor agreement that might not align with the Legislature ’s ultimate strategy for how to address the budget problem.
https://lao.ca.gov/Publications/Report/4665

Revisiting the Unemployment Insurance Trust Fund Insolvency

Sep 30, 2016 - Finally, as described in our second post , because the federal UI tax is not experience-rated, payment for past benefits through increased federal UI taxes increases the extent to which employers with relatively low benefit costs subsidize employers with relatively high benefit costs.
https://lao.ca.gov/Publications/Report/3503/2

Revisiting the Unemployment Insurance Trust Fund Insolvency

Sep 30, 2016 - Historically, an AHCM of 1.0 is a high target for California —the last time this level of reserves was reached was 1990. The Legislature could choose a lower reserve target that would require more modest tax increases and/or benefit reductions.
https://lao.ca.gov/Publications/Report/3503/3

The 2024-25 Budget: State Employee Compensation

Mar 21, 2024 - This issue is particularly common among high-demand jobs (for example, nursing staff) or in high-cost-of-living regions of the state. Challenging Working Conditions. The nature or location of a state job might make it difficult to fill.
https://lao.ca.gov/Publications/Report/4888

Strengthening the CalSTRS Funding Plan

Mar 10, 2021 - Figure 13 Summary of Funding Plan Complexities and Challenges Highly Complex, Theoretical Formulas. Complex formulas —that become increasingly complex over time —result in an ever ‑changing proportional division of total UAO between the state and employers, and leave some UAO unallocated.
https://lao.ca.gov/Publications/Report/4400

The 2022-23 Budget: Assessing Proposals to Address Unemployment Insurance Fraud

Feb 15, 2022 - The pandemic pushed unemployment in California to record highs. Under normal conditions, about 40,000  California workers file for UI each week. During the first two months of the pandemic, an average of 500,000 workers were filing each week.
https://lao.ca.gov/Publications/Report/4542

The 2025-26 Budget: Concession Bargaining

May 19, 2025 - It is within the Legislature ’s prerogative to determine that such actions are necessary to address a budget problem. That being said, the Legislature must weigh such action against the damage that the action can bring to the state ’s relationship with its employees.
https://lao.ca.gov/Publications/Report/5047