S.L. County workers unlikely to see raises

The 4,000 or so employees of Salt Lake County will likely watch their earnings ebb next year as county officials struggle to cut expenditures in continuing economic turmoil.

Human Resources Director John Mathews delivered a report to the Salt Lake County Council Tuesday recommending no merit or cost of living increases for employees in 2010 as well as continuing a suspension of county 401(k) contributions enacted last year.

While that recommendation would maintain salaries at their current levels, an expected hike in insurance premiums next April will eat into paychecks. On top of that, the council is wrestling with the need to garner savings wherever it can find them, and the possibility of enacting an across the board wage cut, or mandated work furloughs, is coming closer to reality. Council Chairman Joe Hatch said continuing revenue losses, and the possibility that the bottom has not yet been reached, is dictating the direction the council must take.

"We have a choice here," he said. "Do we assume the economy is going to remain flat, or continue to deteriorate? In either case, we need to look at compensation."

A single, countywide furlough day erases about $900,000 in expenses. Hatch said mandating furlough days would be his preference over other cost-saving measures, including an across-the-board cut or further program cuts. The county has already instigated tens of millions in interim slashing this year, and asked departments to find 7.5 percent in further reductions for next year. Cutting more programs, Hatch said, would likely result in putting workers on the streets.

"There are other voices that still think program cuts are in order," Hatch said. "That would be the worst thing we could do right now in this economy. It's essentially saying we're going to give out pink slips."

Hatch's colleague across the council aisle, Republican Councilman Jeff Allen, also is in favor of furloughs over wage cuts, if a pay cut is deemed necessary.

"Last year, we were probably one of the few government institutions that granted both a merit and COLA increase," he said. "We don't want to cut compensation, but if we have to, furloughs are probably the least painful way to get it done."

Salt Lake County Mayor Peter Corroon said Wednesday that the grim financial realities being faced by the county are the same for public and private sector institutions across the country, and furloughs are a tool that many are turning to address shortfalls, while saving jobs.