COST OF WITHHOLDING RAISES FROM STATE WORKERS: $31M
DECISION OF FORMER ADMINISTRATION CAME WITH A PRICE
Efforts by the previous governor’s administration to withhold contractually guaranteed pay raises to State of Illinois employees ended up costing taxpayers about $31 million in late payment interest penalties. Learn more about the numbers below.
The automatic raises had been hammered out under contract negotiations between previous Gov. Pat Quinn and the American Federation of State, County and Municipal Employees, or AFSCME, which represents most state employees.
Gov. Bruce Rauner took office in 2015 on a platform more combative against AFSCME. He unilaterally stopped awarding the raises when the union’s contract expired June 30, 2015.
AFSCME immediately sued him, and the courts ruled the governor had no authority to cancel the raises while the new contract was being negotiated. The courts ordered back pay with interest for all employees affected.
Public Act 100–0007 authorized the state to pay the back wages to affected state employees.