Senate Finance Committee Proposes Temporary Halt Of State Employee Pay Raises

Jun 24, 2020

The Senate Finance Committee rolled out its version of the state budget Wednesday and proposed temporarily halting pay raises for state employees to prepare for possible mid-year budget adjustments. 

Holding off on pay raises until October would save the state $60 million. Senate Finance Chairman Bodi White says if the economy improves by then-- or if Congress passes another relief bill-- that $60 million would go back to state agencies and state employees would get their raises.

If not, the money would be used to fill budget gaps. White and several other committee members said they didn not like the optics of giving government employees pay raises after so many in the private sector lost their jobs.

White also said the long list of proposed tax breaks making their way through the legislature will be winnowed down to just a few measures. The $25 million cost of the cuts would be offset by a portion of the state’s unclaimed property funds.