The State Worker

Chronicling civil-service life for California state workers

June 10, 2009
Schwarzenegger appeals State Fund ruling

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Hold everything.

The Schwarzenegger administration has appealed the recent ruling in San Francisco Superior Court that furloughing State Compensation Insurance Fund legal staff breaks the law.

The appeal could delay the logistical moves required for State Fund and the Controller's Office to restore full June pay and hours for the 500 or so staff covered by the recent court decision. The cutoff date for state master payroll changes this month is June 22. Next month it's July 22.

(Want to know how we know? Click here for a lesson in figuring out state payroll deadlines ... if you dare.)

California Attorneys, Administrative Law Judges and Hearing Officers in State Employment and three SCIF employees won their case in Superior Court against Gov. Arnold Schwarzenegger, DPA Director Dave Gilb, Controller John Chiang and State Fund President Jan Frank based on law that excludes fund employees from state job reductions.

San Francisco Superior Court Judge Peter Busch handed down his formal ruling last week, ordering the government to lift the furlough for CASE members at the fund.

The administration's notice of appeal, which you can read by clicking here, asserts that the act of filing the appeal automatically keeps State Fund and the controller from lifting the furlough and restoring pay.

"We're not sure that's correct," CASE attorney Patrick Whalen told us this afternoon. "We're researching the accuracy of that statement."

Translation: The union is deciding whether to argue that CASE members should get full pay and hours while the appeal is under consideration by the court.

How long could this legal wrangling go on? Whalen couldn't say. "We're looking for the quickest resolution possible," he told us.


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About The State Worker

Jon Ortiz The Author

Jon Ortiz launched The State Worker blog and a companion column in 2008 to cover state government from the perspective of California government employees. Every day he filters the news through a single question: "What does this mean for state workers?" Join Ortiz for updates and debate on state pay, benefits, pensions, contracts and jobs. Contact him at (916) 321-1043 and at


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