FAST FACTS:
(Memphis 6/10/2009) Budget talks are heating up at city hall.. especially when council members started talking about reducing salaries ... even their own!
The council's trying to chop $50 million dollars from Mayor Herenton's proposed budget. So where should they cut? One councilman suggests starting at the top by slashing the six-figure salaries some division directors are raking in.
Cutting salaries at the top would save about $1.8 million dollars. Getting rid of a 3 percent raise for city employees would chop millions more. But when you talk salaries, it can get personal and that's exactly what happened tonight.
"The Fed Ex model is in tough times instead of laying people off, they asked for a reduction in salaries," said Council Member Jim Strickland.
So he says ... why not do the same thing at city hall? Wednesday night he proposed that anyone making $90,000 or more should take a 10 percent pay cut.. If you make at least $70,000, he says you should get a 5 percent cut.
But the idea wasn't met with a whole lot of enthusiasm
"I think it's absurd," said Council Member Joe Brown. "I think when they invest in their education they should be compensated."
"My initial thought is there are some other areas we ought to look into. We need to make sure our employees are compensated along a national guideline, so I'm not sure that's the right thing to do right now," said Council Member Wanda Halbert.
Strickland says council members should set the example by giving up 10 percent of the $39,000 they take home as council members. That idea wasn't popular either.
The budget meetings continue Thursday. Council members are supposed to pass a budget by next week, but some believe that deadline will be pushed back until the end of the month.
- Council member Jim Strickland proposes reducing salaries of high-paid city employees
- Cuts would save approx. $1.8 million
- Deadline to pass budget is next week
(Memphis 6/10/2009) Budget talks are heating up at city hall.. especially when council members started talking about reducing salaries ... even their own!
The council's trying to chop $50 million dollars from Mayor Herenton's proposed budget. So where should they cut? One councilman suggests starting at the top by slashing the six-figure salaries some division directors are raking in.
Cutting salaries at the top would save about $1.8 million dollars. Getting rid of a 3 percent raise for city employees would chop millions more. But when you talk salaries, it can get personal and that's exactly what happened tonight.
"The Fed Ex model is in tough times instead of laying people off, they asked for a reduction in salaries," said Council Member Jim Strickland.
So he says ... why not do the same thing at city hall? Wednesday night he proposed that anyone making $90,000 or more should take a 10 percent pay cut.. If you make at least $70,000, he says you should get a 5 percent cut.
But the idea wasn't met with a whole lot of enthusiasm
"I think it's absurd," said Council Member Joe Brown. "I think when they invest in their education they should be compensated."
"My initial thought is there are some other areas we ought to look into. We need to make sure our employees are compensated along a national guideline, so I'm not sure that's the right thing to do right now," said Council Member Wanda Halbert.
Strickland says council members should set the example by giving up 10 percent of the $39,000 they take home as council members. That idea wasn't popular either.
The budget meetings continue Thursday. Council members are supposed to pass a budget by next week, but some believe that deadline will be pushed back until the end of the month.
