At least one union is alerting Massachusetts public sector employees the state has proposed reducing its full-time workforce by offering buyouts of $10,000 for resignations and $20,000 for retirement, according to an email sent out to members.
“The Commonwealth has presented all state worker unions, including Local 509, with a proposal to reduce the number of full-time employees across the Commonwealth,” SEIU Local 509 President Dave Foley wrote in an email to union members. “The Commonwealth has proposed $10,000 for a voluntary resignation and $20,000 for retirement. Our understanding is that when these positions become vacant, they would not be backfilled and would be eliminated.”
The union has not agreed to the proposal, Foley stated, and chapter presidents will “meet with the state to receive more information.”
SEIU’s Local 509 represents Massachusetts public sector employees including workers at the Department of Children and Families, Department of Transitional Assistance, Executive Office of Housing and Livable Communities, Department of Mental Health, Department of Elementary and Secondary Education, MassHealth, and more state agencies.
A Local 509 spokesperson said Monday they do not currently have more information other than what was released to members or the full scope of the state’s proposal, including which workers and other unions could be affected.
Several other unions representing state employees in Massachusetts did not respond to inquiries as of Monday evening. The Healey administration did not respond to repeated inquiries from the Herald.
The Local 509 president emphasized that the proposal is “not an early retirement program” that would allow employees to access pensions early, and it would entail a “one-time lump sum payment to employees who choose to resign or retire.”
“There are many outstanding questions that remain about this proposal, such as what positions and agencies would be eligible to enroll in this program and receive this incentive,” the union said in the communication to members. … “We brought together our Local 509 Public Sector Chapter Presidents to discuss the state’s proposal, and there is a strongly shared skepticism among all of us.”
Union leaders have concerns reducing staffing levels “would negatively impact both our members and the essential services we provide to clients and families,” Foley added.
Local 509 will continue to update members as the situation develops, the president said.
Though spending strains have been a topic on Beacon Hill this year, given the uncertainty of federal funding, budget writers last month refrained from lowering the revenue estimate for the current budget year.
Healey’s Secretary of Administration and Finance, Matthew Gorzkowicz, told lawmakers in October that the Department of Revenue is expecting at least a $650 million state tax revenue decrease this year as a result of federal tax code changes.
But Gorzkowicz, in an October 15 revenue certification letter to Healey and key state lawmakers, said his takeaway was “that forecasts anticipate a slowing economy rather than a recession” roughly in line with the December 2024 forecasts that underpinned the start of the fiscal year 2026 process.
In his letter, Gorzkowicz said he will continue to track both revenue and spending trends and is prepared to recommend so-called 9C cuts “or other appropriate measures to maintain budget balance” if conditions warrant.
The so-called 9C cuts are unilateral mid-year budget cuts that can be made by the governor.
This summer, Healey asked lawmakers to give her expanded 9C powers to allow her to cut from a greater range of state accounts. Legislative leaders have been cool to the idea and municipal officials are staunchly opposed.
— Material from State House News Service contributed.
Nancy Lane/Boston Herald
Secretary of Administration and Finance Matthew Gorzkowicz (Nancy Lane/Boston Herald, File)
