In a predictable and disappointing manner, Governor Pawlenty said that spending cuts will be the only way to balance the budget. This was said at a news conference following the budget forecast meeting at the Capitol earlier today.
"It's time for Governor Pawlenty to stop politicking and get busy putting Minnesotans back to work," said Minnesota AFL-CIO President Shar Knutson in response to today's grim economic forecast.
The forecast shows $1.2 billion deficit for the current biennium. State economist Tom Stinson noted that the deficit is up even more than anticipated.
Jobs and wages are recovering slowly. Stinson also noted that jobs may increase in March of 2010 largely due to the Census. He said that there may be a small turn around in construction of homes and roads, and there may be a rise in health care, leisure and hospitality jobs as well.
Pawlenty also told reporters at his news conference that he plans to unallot part of December's LGA set to go out at the end of the month. He will make his decision in the coming days.
The Minnesota AFL-CIO knows that jobs are one of the keys to economic recovery. Knutson goes on to say, "We've got eight unemployed Minnesotans competing for every available job, and the governor stand ready to throw more people out of work. He has stripped the state of its resources, ignored the recommendations of both private and public sector experts, savaged existing efforts to create jobs--and not surprisingly, tax revenues are down. Gov. Pawlenty must do better."
Indeed, one way Gov. Pawlenty could do better is by joining with the Minnesota AFL-CIO to work to create jobs for Minnesota's unemployed and underemployed workers. The Minnesota AFL-CIO's efforts to do this include:
1. Teaming with its community affiliate, Working America, to hold a roundtable on jobs for Minnesota's future. The roundtable is being held in conjunction with Thursday's Presidential Roundtable in Jobs in Washington, D.C. The metro event is set for 10:30 AM, Thursday, Dec. 3 at Working America's headquarters at 4407 E. Lake St, Mpls.
2. Working with community partners and key legislative staff to outlinne wage subsidy legislation similar to the legislation that helped to create jobs and pull Minnesota out of the Reagan recession in the early 1980s.
3. Briefing legislators and gubernatorial candidates on its 2010 priorities: expanding Minnesota's good family supporting jobs and raising the revenue needed to make Minnesota work.
To view the complete report of the November forecast, click on www.mmb.state.mn.us