Friday, August 31, 2007

Governor Beebe to Overhaul State Pay Plan

Governor Mike Beebe yesterday pledged executive branch cooperation with legislators in developing recommendations for overhauling the pay plan for state employees. "There are obvious areas that need to be addressed," Beebe said. "We've got significant turnover in state agencies in the entry-level and lower-paid positions. That's counterproductive for everybody."

During the last fiscal year, 17.9% of the state's 27,400 workers left state employment, and 75% of those were entry-level workers. Beebe said the high turnover among state employees is bad for taxpayers, “because productivity goes down and you end up having to do something else.”

Act 868 of 2007 requires the Department of Finance and Administration Office of Personnel Management to study the state's personnel classification and compensation plan and submit recommendations for changes to lawmakers by Oct. 1, 2008. The 2009 General Assembly will likely act on those recommendations, and AFSCME Local 965 will be working with legislators to assure a fair pay plan with a living wage and good health care and retirement benefits for all state employees.

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