PRESS RELEASE

For immediate release: August 9, 2006
Point of Contact: Jim Duncan, ASEA Business Manager, (907) 277-5200

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HIRING FREEZE WRONG CHOICE WHEN FACING BUDGET SHORTFALL

Following the announcement that the flow of oil through North Slope transmission lines will be interrupted, Gov. Frank Murkowski announced today a freeze on hiring employees to serve in state government.

“State services, especially those relating to the essential duties of public safety, public health and the welfare of children, seniors and wards of the state, should come first when a budget shortfall is anticipated,” said Business Manager Jim Duncan.

“As the state faces this revenue loss, the governor’s extraordinary capital budget has put vulnerable Alaska families at risk,” Duncan said. “By freezing state hires, our governor forgets that the essential services required by children and working families around the state are performed by qualified state employees.”

ASEA/AFSCME Local 52 supports a review of the FY07 capital budget by the governor to identify projects for postponement and future funding when the budget outlook is more stable.

“By removing discretionary projects from the Capital Budget, the state can resume hiring qualified employees for essential government services with the money saved,” said Duncan.

Recovering funds from the capital budget is one of several options the governor can pursue to meet the budget shortfall. All options should be reviewed before instituting a hiring freeze.

ASEA/AFSCME Local 52 represents 7,500 state employees, approximately half of the state workforce.

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