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LA Official: Labor Deal Not Guaranteed To Stop Layoffs

LOS ANGELES (CBS) —The tentative labor deal reached at City Hall will eliminate the threat of furloughs in Los Angeles, but layoffs are still on the table, according to one senior city official.

KNX 1070's Bill Cooper reports Chief Administrative Officer Miguel Santana says at this point, transfers are preferable to pink slips.

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"We're not going to negotiate our right as management to lay people off if we have to, and this agreement does not tie our hands against layoffs," said Santana.

Santana was the lead city negotiator with the Coalition of L.A. City Unions in talks leading to the recent labor agreement.

Furloughs were taken off the table when labor groups yielded more pension concessions and agreed to forgo paid overtime and automatic raises.

City officials are still optimistic that layoffs can be avoided in the coming fiscal year even in the face of a projected $350 million budget deficit.

(©2010 CBS Local Media, a division of CBS Radio Inc. All Rights Reserved. This material may not be published, broadcast, rewritten, or redistributed. Wire services contributed to this report.)

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