18 city employees get termination notices

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December 16, 2009

BY MIKE FAHER The Tribune-Democrat Wed Dec 16, 2009, 11:19 PM EST

JOHNSTOWN — Eighteen Johnstown employees have received termination notices effective Jan. 1, though it remains unclear whether the city will lay off any workers.

The notices were necessary because officials must give two weeks’ notice before layoffs.

And while no final decisions have been made, City Council is considering significant staffing cuts to balance the 2010 budget, which will take effect on the first day of the new year.

“Should council approve of a budget that includes your position, this letter of termination will be rescinded,” Acting City Manager Bruce Haselrig wrote in letters dated Dec. 15.

While their ultimate impact has yet to be determined, the termination letters underscore Johnstown’s financial plight as officials wrangle with a budget that has a $1.5 million hole.

With budget deadlines fast approaching, Councilman Jack Williams last week proposed two options: Raise taxes 42 percent and keep all current staff, or eliminate 17 staff positions and still hike taxes by 24 percent.

Possible layoffs include the recreation director, seven public-works positions and seven police officers.

The full-time recreation director would be replaced by a part-time recreation coordinator; so, while 18 total layoffs would occur, the city’s net job loss would be 17.

No budget proposal has been endorsed by a majority of council members. Another meeting is scheduled for 5:30 p.m. Friday.

But, should council elect to lay off workers at that session, there would have been insufficient time to allow for a two-week notice by year’s end.

So Haselrig said he was acting at council’s direction in sending out the letters earlier this week.

There was one letter that Haselrig didn’t need to mail.

That’s because he still holds the title of assistant city manager, one of the positions on the chopping block.

In the letters, Haselrig notes that the city “is currently facing a financial crisis” while adding that “over the past few months, management and council have worked toward a reasonable and balanced budget.”

He notes that the city’s 2010 pension obligation has increased to $1.6 million, while health-care costs have jumped 34 percent.

“Personnel costs are 85 percent of our budget and need to be addressed,” Haselrig wrote.

“As a result, we are eliminating your position.”

There was concern Wednesday over the use of the words “termination” and “eliminating your position” in the letters, with some contending that “furlough” – which carries a more temporary connotation – would have been more proper.

But Haselrig, in an interview Wednesday, said he discussed the language with the city’s attorney. And he reiterated that, if council can find a way to avoid layoffs, all employees who received letters still will be working Jan. 1.

Haselrig stepped into the acting manager’s job after former Manager Curt Davis resigned Sept. 30.

He has no interest in taking the position for the long term, but he has been thrown into the middle of Johnstown’s worst budget crisis in recent memory.

“It’s tough. It’s something that I never thought I’d be doing,” Haselrig said of sending the termination letters.

“I just hope that we can find a way to get these people back.”

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