The 2020-21 Spending Plan: Labor and Employment Issues

Oct 5, 2020 - Major Labor and Employment Issues One-Time Transfer of Labor Law Penalties to General Fund. The 2020 ‑21 budget plan transfers $107  million one time from the Labor and Workforce Development Fund (LWDF) to the General Fund.
https://lao.ca.gov/Publications/Report/4274

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

Sep 9, 2025 - The administration estimates that the proposed agreement with Unit 10 would reduce state department costs by $10.1  million ($2.8  million General Fund) in 2025-26 and $13.5  million ($3.8  million General Fund in 2026-27), as shown in Figure  2.
https://lao.ca.gov/Publications/Report/5073

MOU Fiscal Analysis: Bargaining Unit 8 (Firefighters)

Aug 19, 2025 - The administration estimates that PLP 2025 would reduce state costs by $20.2  million ($13.4  million General Fund) in 2025-26 and $26.9  million ($17.9  million General Fund) in 2026-27. The methodology that the administration used to derive this estimate assumes that the costs related to planned overtime also are reduced during PLP 2025.
https://lao.ca.gov/Publications/Report/5066

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

Jul 14, 2025 - Generally, PLP 2025 offsets employee pay in exchange for hours of leave in each month of PLP 2025. The duration of PLP 2025 generally is 24 months across 2025-26 and 2026-27. Bargaining Unit 2 (Attorneys and Hearing Officers) is the exception and would be subject to PLP 2025 for only 16 months; however, Unit 2 would be subject to a larger pay offset than the other bargaining units during months of PLP 2025.
https://lao.ca.gov/Publications/Report/5064

MOU Fiscal Analysis: Bargaining Unit 9 (Professional Engineers)

Jun 27, 2025 - Unit 9 and affiliated excluded employees account for about 2  percent of the state ’s General Fund salary and salary-driven benefit costs. Most Unit 9 employees work for departments that are funded from non-General Fund sources.
https://lao.ca.gov/Publications/Report/5061

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

Jun 27, 2025 - Change Scheduled Top Step Pay Increase to General Salary Increase (GSI). Under the current MOU, Unit 12 members at the top step of their salary range are scheduled to receive a 4  percent pay increase on July 1, 2025.
https://lao.ca.gov/Publications/Report/5060

MOU Fiscal Analysis: Bargaining Unit 6 (Corrections)

Jun 23, 2025 - Compared with spending levels today, the administration estimates that the agreement would result in General Fund savings of $120.2  million in 2025-26 and $69.8  million in 2026-27. After PLP 2025 ends and the state resumes making contributions to prefund OPEB, the administration estimates that the state ’s annual General Fund costs would be $412.2  million higher than today.
https://lao.ca.gov/Publications/Report/5058

The 2025-26 Budget: Concession Bargaining

May 19, 2025 - While payments towards normal cost are shared by employees, the state generally is responsible for any payments towards the unfunded liability. In 2022-23, the state contributed $7.2  billion (all funds) towards employee pension benefits.
https://lao.ca.gov/Publications/Report/5047

The 2024-25 Budget: State Employee Compensation

Mar 21, 2024 - The assumed General Fund savings under the proposal is modest —$26  million in 2024 ‑25. For reference, the state budget assumes that its existing labor agreements with state employees will increase state costs in 2024 ‑25 by $1.3  billion ($676  million General Fund).
https://lao.ca.gov/Publications/Report/4888

The 2024-25 Budget: Proposition 2 Debt Payment Proposals

Mar 20, 2024 - Proposed Application of 2023 ‑24 Payment Assumed to Reduce State Costs in 2024 ‑25 by $1.3   Billion General Fund … The administration ’s plan to apply the state ’s 2023 ‑24 payment toward unfunded liability payments in 2024 ‑25 results in $1.3  billion in savings for the General Fund in that year, helping the state to address the budget problem by that amount.
https://lao.ca.gov/Publications/Report/4887