PEF's Budget Solutions 2010 Intro

- Institute a Consultant Reduction Plan — This plan will replace about half the state’s high paid consultants with state employees saving $656 million over the next three years.

- Expand the Voluntary Severance Program — The governor originally proposed to reduce the work force by 4,500 positions by offering a $20,000 severance payment. Only 1,200 positions were eliminated through the severance program. More than 1,000 employees were denied participation in the 2009 severance program; if offered without restriction, the severance could save the state more than $52 million in FY 2010-11. If the state eliminated another 2,300 positions through the severance program, meeting the governor’s initial target, the state could save an additional $120 million.

- Overtime Savings — Reduce overtime costs by 60 percent by hiring entry-level state employees for a savings of $33.5 million annually.

- Institute a Workplace Injury Reduction Program — Workplace injuries cost the state between $113 and $227 million per year in direct and indirect costs. A 20 percent reduction resulting from comprehensive prevention efforts to address causes of the injuries could result in $45 million in savings.