Schwarzenegger To Sue Controller Over Pay Cuts


SACRAMENTO (AP) - Gov. Arnold Schwarzenegger and state Controller John Chiang (Chung) are headed for a court fight over the administration's attempt to cut the pay of state workers.

Lynelle Jolley, a spokeswoman for Schwarzenegger's Department of
Personnel Administration, tells The Associated Press that a lawsuit
against Chiang will be filed later today.

The Republican governor issued an executive order on July 31 directing that the pay of nearly 140,000 non-security, rank-and-file employees be cut to the federal minimum wage of $6.55 an hour. The order would be in effect until lawmakers approve a state budget.

About 30,000 management employees would be paid $455 a week under the order. Another 8,000 state workers without federal minimum wage protection, mostly doctors and attorneys, would not be paid at all.

Chiang has balked at making the pay cuts, saying the state has enough money to cover its needs into October. He also says the state doesn't need to move now to borrow money.

(Copyright 2008 by The Associated Press. All Rights Reserved.)

AP-NY-08-11-08 1749EDT

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