California considers delaying health care workers’ pay raise due to budget deficit

A LAW IN CALIFORNIA THAT WILL BOOST THE MINIMUM WAGE FOR HEALTHCARE WORKERS WAS SIGNED BY GOVERNOR GAVIN NEWSOM LAST YEAR – 

AND WAS **SUPPOSED TO GO INTO EFFECT ON JUNE FIRST.

BUT LESS THAN A WEEK BEFORE THAT HAPPENS –

NEWSOM AND STATE LAWMAKERS ARE LOOKING TO POSTPONE THE IMPLEMENTATION OF A 25-DOLLAR MINIMUM WAGE FOR NEARLY ALL WORKERS – INCLUDING JANITORS – AT HEALTHCARE FACILITIES.

THE LAW IS ONE OF THE MOST EXPENSIVE THE STATE HAS SEEN IN YEARS –

EXPECTED TO COST 4 BILLION DOLLARS IN JUST ITS FIRST YEAR –

ACCORDING TO NEWSOM’S ADMINISTRATION.

BUT THE COSTLY TAB COMES AS THE STATE IS ALREADY SPENDING TENS OF BILLIONS OF DOLLARS MORE THAN WHAT THE ANNUAL BUDGET ALLOWS.

THE STATE’S BUDGET **DEFICIT – IS ROUGHLY 45 BILLION DOLLARS.

UNIONS HAVE PROMOTED THE LEGISLATION AS A FIX TO A HEALTHCARE SYSTEM THAT IS LOSING CRITICAL STAFF DUE TO ITS LOW PAY.

AFTER NEWS OF NEWSOM LOOKING TO WALKBACK THE MINIMUM WAGE LEGISLATION UNTIL A FISCAL SOLUTION IS IN PLACE FOR IT –

A UNION REPRESENTING UNITED HEALTHCARE WORKERS LAUNCHED A CAMPAIGN AIMING TO HOLD THE GOVERNOR TO THE LAW HE SIGNED IN OCTOBER.

HEALTHCARE WORKERS SHARED WHY THEY DON’T WANT THE LEGISLATION TO BE PUSHED BACK.

A TECHNICIAN SAYS “ITS NO SECRET WHY WE ARE SHORT STAFFED. ITS THE LOW PAY.”

A NURSING ASSISTANT SAYS “ON ONE OF THE WORST DAYS THERE WERE ONLY TWO OF US certified nursing assistants (CNAS) TO CARE FOR 38 PATIENTS.

A DIALYSIS PATIENT-CARE TECH SAYS “A LOT OF GOOD PEOPLE HAVE LEFT BECAUSE OF THE LOW PAY.”

THE CURRENT MINIMUM WAGE IN CALIFORNIA IS 16 DOLLARS AN HOUR.

THE WAGE INCREASE ASSOCIATED WITH THIS LEGISLATION – WOULD PHASE IN OVER THE NEXT FEW YEARS.

AS THINGS STAND – THAT MINIMUM WAGE FOR THIS SECTOR WOULD INCREASE NEXT MONTH TO 18 TO 23 DOLLARS – DEPENDING ON THE JOB TITLE AND PLACE.

BUT BY 2028 – NEARLY ALL WORKERS IN HEALTHCARE FACILITIES – WOULD HAVE TO BE PAID AT LEAST 25 DOLLARS AN HOUR.

WHILE THAT’S THE TENTATIVE PLAN –

THE STATE LEGISLATURE IS LOOKING TO BUMP THAT PAY BOOST BACK –

AT LEAST UNTIL JULY FIRST –

WHICH IS WHEN THE NEW FISCAL YEAR BEGINS. 

NEWSOM ANNOUNCED THE HESITATION IN JANUARY WHEN GOING OVER THE NEXT FISCAL YEAR’S BUDGET AND ESTIMATING THE ALREADY 45 BILLION DOLLAR DEFICIT WOULD GROW TO 56 BILLION OVER THE NEXT TWO FISCAL YEARS.

ACCORDING TO NEWSOM’S DEPARTMENT OF FINANCE – 

HALF OF THE COST BURDEN OF THIS WAGE INCREASE – WOULD BE ON THE STATE’S GENERAL FUND.

THE OTHER HALF would BE PAID FOR BY FEDERAL FUNDS.

CALIFORNIA’S DEPARTMENT OF FINANCE – IS AGAINST THE LEGISLATION.

SAYING IN A “BILL ANALYSIS” REPORT –

“Finance is opposed to this bill because it creates significant General Fund impacts and cost pressures. This bill will also create significant economic impacts in the healthcare industry, which may increase costs for consumers and the state.”

THE AUTHOR OF THE BILL SUBMITTED PAPERWORK TO DELAY ITS IMPLEMENTATION BY ONE MONTH.  

CALIFORNIA’S STATE LEGISLATURE IS EXPECTED TO VOTE ON THE AMENDMENT THIS WEEK.

I’M KARAH RUCKER –

FOR MORE STORIES LIKE THIS DOWNLOAD THE STRAIGHT ARROW NEWS APP OR VISIT US AT SAN DOT COM.