California Supreme Court Upholds Implemented Furloughs of State Employees

The California Supreme Court recently upheld the Governor's unilaterially-implemented mandatory furloughs of represented state employees.  Professional Engineers in California Government, et al. v. Arnold Schwarzenegger, et al., California Supreme Court Case NO. S183411, October 4, 2010. The Court determined that the Budget Act of 2008 "reasonably included the furlough plan that was then in existence," therefore the Legislature approved the Governor's furlough plan as required by law. The Court's ruling was premised on state law that specifically requires the Legislature to approve provisions of memoranda of understanding requiring the expenditure of state funds in the annual Budget Act.  

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