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Does Rahm Get It? Emanuel Lays Off 625+ Public Workers In an Effort to Close Budget Gap

Rahm Emanuel Lay Off 625 workers

Chicago Mayor Rahm Emanuel sent pink slips to up to 625 city employees last week and he plans to privatize many of those jobs in order to close Illinois’ $30 million budget gap, the Chicago Tribune reported.

Nearly 130 seasonal transportation workers will be told to leave immediately.

According to the Tribune, “Emanuel said he intends to get private companies to clean the city’s airports and libraries, work now done by city employees. Operators at the city’s water-bill call center and employee benefit managers also will see their jobs outsourced. Those union workers will receive 30- and 45-day layoff notices.”

Emanuel followed through on his threat to lay employees off because, he said, the unions had failed to offer concessions or cost-cutting measures that would help close a budget hole created by an earlier deal with City Hall for unions to take unpaid days off.

Could it be that Rahm Emanuel is cleaning house? Is he really removing public sector jobs and privatizing them?

The Tribune quotes Emanuel as saying, “It has been two weeks and despite ongoing talks between leaders of organized labor and my administration, none of the changes yet have been embraced or agreed upon.”

“My duty as mayor is to protect our city’s taxpayers … not to protect the city’s payroll.”

Union leaders said Emanuel never set a hard deadline for them to present their money-saving ideas and, according to the Tribune, “did not make serious attempts to negotiate.”

But should this come as a surprise? If anyone knows about the stubborn obtuseness of union leaders, and their propensity to not concede on monetary issues, Emanuel would. Perhaps the mayor figured that a preemptive strike would be far more effective than spending hours sitting around a table.

“Mayor Emanuel’s decision to lay off these workers and privatize services without really engaging in the process is both perplexing and disappointing to all of us,” said Jorge Ramirez, president of the Chicago Federation of Labor, in the Tribune article.

“When there’s a fire, you don’t pour gasoline on it. You pour water on it.”

Henry Bayer, the executive director of the American Federation of State, referred to Emanuel’s approach as “scattershot.”

“If the mayor were serious about attempting to change any work rule, he would have taken the appropriate measures to engage in such discussions,” Bayer said in a statement.

“The fact that he has never done so is clear evidence that his attempt to blame union work rules for the city’s massive deficit is mere public relations gimmickry,” said the Tribune article.

With Emanuel reigning in the unions, Chicago will no longer be responsible for custodial services at libraries or airports.  Additionally, according to the Tribune, “managing benefits and staffing the water billing call center will no longer be the city’s responsibility. 75 percent of the seasonal work force at the Department of Transportation will be dismissed as well.”

Labor leaders are still expected to sit down with Emanuel’s administration later this week. Those talks will likely be geared toward cost-savings in the 2012 budget, which is expected to be short $650 million or more.

Therefore, Emanuel has proposed additional solutions:

1)       Salaried employees receive the same number of sick days and holidays as hourly employees

2)      Workers doing the same job would get the same pay, no matter which union they belong to

3)      The city would eliminate rate differences for driving different vehicles and operating different equipment.

“Emanuel inherited the $30 million budget shortfall from former Mayor Richard Daley, who balanced his final budget by including savings the city would have seen if unpaid days off continued through the end of the year. But Daley did not negotiate an extension of the furlough program with the unions before handing the reins to Emanuel,” reports the Tribune.

Emanuel rejected unpaid days off as a solution, saying they hurt employee morale and fail to deliver the anticipated savings.

Adding more pressure to the unions, Emanuel announced last week that he had salvaged $20 million of the $30 million in savings by not filling up to 200 vacant jobs and by turning a city-run community health clinic system into a partnership with a federal health care program.

Turning over city-run programs to the feds? Uh-oh.

“The layoffs will save an estimated $10 million to $12 million for the rest of the year,” Emanuel said in a report from the Chicago Tribune.

Labor leaders are still prepared to negotiate in good faith and share Emanuel’s sense of urgency, Ramirez said. The layoff move, however, “complicates things.”

Emanuel also said he remains open to partnering with labor and will continue to look for “better, smarter, more efficient and cost effective” ways to deliver city services.

There are two possible conclusions to this story. Either Rahm Emanuel, like the rest of America, has realized that in order to control state budgets, the unions must be brought under control.

The second possibility is that Emanuel, in his typical strong-armed way, has decided that the unions need to be reminded of who’s really in charge. Laying off 625+ union workers seems like an awfully good way of driving this point home.

Which conclusion seems most likely?

Comments (146)

  • obstin8
    Posted on July 18, 2011 at 3:47pm

    Now he is in charge and has to answer the questions. It aint so easy not standing behind the big ear bho. Lots of shade from those puppies. Maybe the jail time of his buddy the Gov woke him up. Maybe he is a conservative in sheeps clothing.

    Report Post »  
    • A Doctors Labor Is Not My Right
      Posted on July 18, 2011 at 4:14pm

      Maybe all the unConstitutional Unionized public workers should boycott this assault on “workers’ rights” by leaving the country- STATE … I mean state – until Rahm is willing to violate his oath of office again by allowing Unions a special place in the legislative process.

      Report Post »  
    • Sound The Trumpet In Zion
      Posted on July 18, 2011 at 4:52pm

      You are right, obstin8
      I just wonder if obama had to do something for real and had to do something like this if he would start thinking like Rahm is doing here. I doubt it but it is a thought. I figure though that if he was ever a mayor or governor or something like that, the only thing he would do well is like in the presidency. The only thing he is doing well there is being the worst one in the history of our country.

      Report Post » Sound The Trumpet In Zion  
    • UlyssesP
      Posted on July 18, 2011 at 4:54pm

      @walkwithme1966
      Like Gov. Walker did his.

      Report Post » UlyssesP  
    • Ruler4You
      Posted on July 18, 2011 at 5:23pm

      IMHBLO, this is a small drop in the bucket. All this clown is trying to do is to get folks riled up over more job losses.

      And obama says he will think about ‘cutting the domestic budget.’ Which again is H.S. The domestic budget is only part of the problem. What about the “foreign aid”? and other international funding for stuff that doesn’t directly benefit Americans? This is just one more way to hurt Americans antagonistically in retaliation for demanding spending cuts, balancing the budget and capping the budget.

      Report Post » Ruler4You  
    • Lucy Larue
      Posted on July 18, 2011 at 6:04pm

      OBSTIN8,
      No…..,that’s not it. Emmanuel presided over the worst thing to happen to this great nation EVER!
      It was the swearing in of Barrack Hussein Obama as President of the United States of America.
      Emmanuel ABETTED “Obamacare”.

      PUHLEEZE don’t try to make it that Emmanuel has found “RELIGION”. No…,Filthy Lucre is Rahm’s God. UGH!

      Report Post »  
    • chazman
      Posted on July 18, 2011 at 6:40pm

      Chicago politics. Let’s not forget that, people. This creep is dangerous.

      Report Post »  
    • rockstone
      Posted on July 18, 2011 at 6:58pm

      And maybe the people who got canned are the last republicans still employed by the City of Chicago.

      I don’t think the union would squeal about that.

      Report Post » rockstone  
    • turkey13
      Posted on July 18, 2011 at 8:35pm

      Don’t forget that he promised all their union dues to be refunded. This is really a test to see what obama is gonna do to reduce the defecit – fire union government workers.

      Report Post »  
    • melmatmic
      Posted on July 19, 2011 at 7:44am

      I never liked Rahm, but I listen to WLS-Chicago all the time and it sounds like he is doing what needs to be done to make the city work again. Now if Illinois and all of the other state and federal governments would follow suit.

      Report Post » melmatmic  
    • Your Name Here
      Posted on July 19, 2011 at 8:37am

      He is no conservative anything,
      Want to bet he will be ‘pushed’ to run for President to ‘save’ the economy?
      This is a stunt.
      I agree that he is probably teaching the unions that he is the new sheriff in town.

      Report Post » Your Name Here  
  • AsilisArt
    Posted on July 18, 2011 at 3:47pm

    This gives me great pause…

    “turning a city-run community health clinic system into a partnership with a federal health care program.”

    This isn’t Rahm being reasonable, this is Rahm cracking the whip. Those who bought into the Obama lie will be the first ones they shut down. Afterall, they‘ve all been promised things in exchange for their support and will be enraged when they find out they’ve been used.

    Report Post »  
    • RepubliCorp
      Posted on July 18, 2011 at 8:50pm

      Agree! You are looking at a power struggle. This has nothing to do with money

      Report Post » RepubliCorp  
    • cemerius
      Posted on July 20, 2011 at 7:09am

      Nice how one article can straighten a person’s halo? Nope he is evil incarnate with this latest round of layoffs I wonder how many more “flash robs” will occur? Most likely the only 625 whites left on the payrolls were let go……I see no cry of racism in this story so maybe I just stumbled upon an unknown?

      Report Post » cemerius  
  • mikenleeds
    Posted on July 18, 2011 at 3:47pm

    GOOD MOVE Emanuel .cuts all of the government workers,,, when i go into the dmv and see 20 standing around eating donuts and getting fatter and only 3 people actually working and the line out the door ****** me off .. if these lazy government workers was working for a private company they all would be fired …

    Report Post » mikenleeds  
    • Jim in Houston
      Posted on July 18, 2011 at 5:28pm

      Not just at the DMV, but almost any government office, especially the post office.

      Report Post »  
  • DrFrost
    Posted on July 18, 2011 at 3:44pm

    “When there’s a fire, you don’t pour gasoline on it. You pour water on it.”

    To which I reply:

    When there’s a recession you downsize. They can try to paint Rahm as an evil vindictive mayor over this but it’s not going to stick. Not on this issue anyway.

    Report Post »  
    • cmabillm12
      Posted on July 18, 2011 at 3:59pm

      He is still part of the problem!!

      Report Post »  
    • Curiousgrandpa
      Posted on July 20, 2011 at 2:43pm

      “When there’s a fire, you don’t pour gasoline on it. You pour water on it.”

      To which I reply:

      When there’s a recession you downsize. They can try to paint Rahm as an evil vindictive mayor over this but it’s not going to stick. Not on this issue anyway.

      I fully agree DR Rahm is a politician first, they will not make this one stick. He is starting a new dynasty in Chicago.

      Report Post » Curiousgrandpa  
  • USACommoner
    Posted on July 18, 2011 at 3:43pm

    Wasn’t he the one who said never to let a crisis go to waste…? I would not trust this man for one minute…wait and see…

    Report Post » USACommoner  
    • Mil-Dot
      Posted on July 18, 2011 at 4:52pm

      Yeah, don’t be too quick to trust Emanuel. He is a snake.

      Report Post »  
    • jackbauer
      Posted on July 18, 2011 at 5:24pm

      Yeah, ole dead fish Rahm is a snake. What’s that invasive fish species they have up in that part of the world? Snake-head fish or some such. Maybe that’s what he is?

      Report Post » jackbauer  
  • TEIN
    Posted on July 18, 2011 at 3:43pm

    Fire from one Union, hire from another..Playing the game of who are my biggest buddies..

    Report Post »  
  • BruceB
    Posted on July 18, 2011 at 3:38pm

    What? No talk of teachers/firemen/policeman layoffs?What kind of Democrat is he?

    Report Post »  
  • Johnnybravo
    Posted on July 18, 2011 at 3:37pm

    LMFAO,government workers laid off.

    Report Post »  
  • tbconrad
    Posted on July 18, 2011 at 3:36pm

    So this is what I predict will happen, The people who were laid off will form a new private sector company. they will then unionize. They will contract back to the city for the job they were doing before and charge them twice as much as they were when they were public sector unions.

    Report Post »  
  • NotFooled
    Posted on July 18, 2011 at 3:35pm

    LMAO!!!! Nice. well said.

    Report Post » NotFooled  
  • Rogue
    Posted on July 18, 2011 at 3:32pm

    I started to wonder about Rahm, till I got about halfway through the article, where we learn he saved 2/3rds of his budget gap by taking a city run health clinic and getting the Feds to pay for it. There’s the old Rahm we knew! Instead of using his own voter’s taxes to pay for the clinic, all of us taxpayers across the nation get to pay for Chicago’s $20mil/yr health program.

    Thanks Chicago. Not only did you screw yourselves by voting this clown into office, now your chosen leader is going to screw the rest of the country.

    Report Post » Rogue  
  • hauschild
    Posted on July 18, 2011 at 3:29pm

    I hope progressives see this and understand they’re simply pawns in a losing game. You‘ll get left at the alter whenever it’s politically expedient to do so.

    Again, how people can put their faith in such a bankrupt ideology is mind-boggling.

    Whoever let the things get to this point should be behind bars, or put to sleep. Half the country knows what’s going on, but half of those don‘t really understand the trouble we’re in. The other half are complete morons would thrive on living from hand to mouth.

    Report Post »  
  • RightPolitically
    Posted on July 18, 2011 at 3:28pm

    Now ol’ Rahm has to face reality. Too bad he can’t get his old boss to do that!

    Report Post » RightPolitically  
  • NotFooled
    Posted on July 18, 2011 at 3:28pm

    Government should never bow down to Unions. Unions have no place in Government. I love it when Libs eat each other. Lol No honor among thieves.

    Report Post » NotFooled  
    • NJTMATO
      Posted on July 18, 2011 at 4:09pm

      Notfooled, very good! HAHAHA….do you think that they are surprised? I was surprised initially. The headline “Does Rahm Get it?” led me astray but after reading the article..I get that he’s just another “king” in a kingpin game and the libs “eating each other” as you stated, very special, indeed!

      Report Post » NJTMATO  
  • Ookspay
    Posted on July 18, 2011 at 3:28pm

    Huh, whadda ya know? It’s alot easier to be a Presidential advisor and just float bad ideas at any cost… But actually managing is a whole lot different!

    I guarantee if Chicago could just raise it’s debt ceiling and print/borrow more money, Rahm would much prefer that!

    Report Post » Ookspay  
  • paulusmaximus
    Posted on July 18, 2011 at 3:28pm

    Rahm used the unions to get elected then blames them for the problems sound pretty straight forward Socialist to me.

    Report Post » paulusmaximus  
    • B_rad
      Posted on July 18, 2011 at 3:47pm

      National Socialist to be exact. That is precisely what the Nazi party did. Used the unions, rallied the unions, once they had the power they banned the unions. Gotta love the BIG left. They’re all the same.

      Report Post » B_rad  
    • Auntie Tea
      Posted on July 18, 2011 at 5:22pm

      Sounds about right (I mean left) to me :)

      Report Post » Auntie Tea  
  • IAMMADDOG
    Posted on July 18, 2011 at 3:27pm

    WOW!! Does this mean the liberal circus is going to pack up here in Wisconsin and take its show to the Chicago capital? After all Scott Walker was “EVIL” for doing the same thing right? At least if was done Walkers way people would still have their jobs.

    Report Post »  
    • Mr. Nutt
      Posted on July 18, 2011 at 3:43pm

      No protests of any kind because he is a democrat. The democrat governor here has taken away some union rights too and still no protests. The union leaders keep telling us to vote democrat because republicans will destroy us but we don’t believe them anymore. More and more of the members are waking up to the B.S.

      Report Post » Mr. Nutt  
  • walker1812
    Posted on July 18, 2011 at 3:21pm

    Rahm obviously has hired some Tea Party members to help run Chicago…..not

    Report Post »  
  • progressiveslayer
    Posted on July 18, 2011 at 3:18pm

    Apparently he didn’t get the memo from Barry that public workers are a protected class.

    Report Post » progressiveslayer  
  • cntrlfrk
    Posted on July 18, 2011 at 3:10pm

    Public union jobs to private sector unions.

    A better move than keeping them.

    Walker should have done this.

    .

    Report Post » cntrlfrk  
    • knockered
      Posted on July 18, 2011 at 3:22pm

      I hope obummer doesn‘t find out or he’ll never get back into the WH. Good for him maybe he has seen the light..

      Report Post »  
  • Marci
    Posted on July 18, 2011 at 3:10pm

    This is hilarious. Who would have thought Rahm would do something sensible? Could it be that Rahm is planning a run in the future? Of course, it IS Rahm, there is always an agenda. I still have NO idea how he managed to get mayor of Chicago after his hair brained antics in the white house and background. But then again, in Chicago, all you do is get rid of your opponents and win. But all that aside—I am shocked he did this and amazed. However he got to that point doesn’t really mattter—as long as he got to that point.

    Report Post » Marci  
    • vennoye
      Posted on July 18, 2011 at 3:17pm

      Doesn’t the picture on this article make him look like one of the adults from the Obama administration!
      Bet he sure caught his union buddies off guard on this one..unless this is only part of a bigger plan!!

      Report Post » vennoye  
    • varptr
      Posted on July 18, 2011 at 9:17pm

      ……though poppies grow In Flanders fields.
      It could be competence, wouldn’t that be nice? But it is more likely the master petting the chicken before serving her for Sunday dinner. Yum.

      Report Post » varptr  
  • HairRazor
    Posted on July 18, 2011 at 3:09pm

    It seems he’s seen the light.. Take note Obama.

    Report Post » HairRazor  
  • cessna152
    Posted on July 18, 2011 at 3:09pm

    Maybe the people he laid off were Jewish/Christian/Conservatives. That would make more sense…

    Report Post » cessna152  
  • JRook
    Posted on July 18, 2011 at 3:09pm

    Interesting to note he was able to union employees and reduce related labor costs without the ideological driven notions of denying their freedom to assemble and right to collective bargain. Or is the other stuff not really about the money.

    Report Post »  
    • Marci
      Posted on July 18, 2011 at 3:15pm

      JRook–get a grip. You would ONLY agree with it when a Democrat does it, and have proven so with your silly statement. Walker didn’t prevent them from assembling, he cut off their ability to automatically give themselves raises without opposition. Is it really fair that they do this with the taxpayer money and the taxpayer has NO seat at the table? If you support that kind of looting, so be it, but people like me will call you out on it every time. What you have essentially said is you are okay with just permanently cutting the jobs and handing to the private sector as long as it is a sleazy liberal. Given what Rahm did–they have no ability to assemble now, because their job is GONE. I mean wow. Do you think before you talk?

      Report Post » Marci  
    • sWampy
      Posted on July 18, 2011 at 3:20pm

      Oh the brain damage, right to collusion, racketeering and extortion are not rights granted by the constitution.

      Report Post »  
    • cntrlfrk
      Posted on July 18, 2011 at 3:25pm

      The difference was Walker was trying to save their jobs AND reduce costs.

      Rahm just eliminated their jobs completely.

      Actually, this is a miniature scale of what is going on all over the country, and part of the ‘controlled’ decline of America.

      You can bet these new jobs will either be fewer, or less pay and benefits or both.

      Furthermore, I would bet money that Rahm conveniently has business buddies set up to fill the void.

      This is how Chicago works. The employees lose, Rahm and his buddies make a ton of cash, and he buys a bunch of new supporters.

      .

      Report Post » cntrlfrk  
    • JRook
      Posted on July 18, 2011 at 3:44pm

      @Marci save your superficial labeling and rants for your friends who either pretend to agree with you or don’t know any better. Your statements regarding what Walker did, and it is interesting your reference him, are completely false as collective bargaining for wages, benefits and working conditions is inherently consistent with a balance between employers and workers. In a prior life I was an executive in a hospital that was unionized and it posed no constraints to an organization that holds its employees in high value. Similar bills across the 12 states with new Republican governors are all directed at attacking unions in both principle and practice. Beyond the obvious fear of their collective political strength, it is a continued assault on wages, benefits and working conditions. If you believe that unions are to blame for the economic decline in this country or the fact that real wages have gone down since 1980, then I say to you “I can tell by your observations, statements and rhetoric that you don‘t even understand what you don’t understand. The point is the budget is about $$, unions understand good times and bad times as reflected in the concessions provided that balanced the budget in MN. The budget however was used as a guise to push through an ideological position against unions. The manner in which it was done in MN was cowardly and we will see what the people say in the recall elections.

      Report Post »  
    • shirtsbyeric
      Posted on July 18, 2011 at 3:44pm

      They can move to China and assemble ipods for 30 cents an hour.

      Report Post »  
    • let us prey
      Posted on July 18, 2011 at 4:18pm

      @Marci
      Good job.

      Report Post » let us prey  
    • Therightsofbilly
      Posted on July 18, 2011 at 5:13pm

      @MARCI………I agree with Let Us Prey…..good post.

      @JROOK

      Your reply to MARCI seems to have one great big omission.
      Can you tell us what that might be?
      Either you are ignorant, or just a typical truth spinning progressive prevaricator.

      Report Post » Therightsofbilly  
  • jacobstroubles
    Posted on July 18, 2011 at 3:08pm

    Who cares…he’s a liar/he’s part of the big lie

    Report Post »  

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