You are reading

City in Big Budget Hole, Major Job Cuts Projected

Mayor Bill deBlasio

May 6, 2020 By Christian Murray

Mayor Bill de Blasio said that he may be forced to cut frontline workers and other municipal employees if the federal government does not provide funding.

He said that New York City is in a big financial hole and may lack the funds to pay people such as health care workers, first responders and educators. The city is projected to lose $7.4 billion in tax revenue through June 30, 2021, according to the mayor’s executive budget released last month.

“How are we gong to support these people who we need if we don’t have any money,” the Mayor told CNN this morning. “I’ve lost $7.4 billion already and my economy can’t come back until I get that stimulus and get back to normal and provide those basic services,” he told CNN.

His cry for federal help comes just a day after Governor Andrew Cuomo also called on Washington to provide funding for hard hit regions. Cuomo, upset by Republican reticence to provide funding for state and local governments, pointed out that New York State had always provided the federal government with a lot more revenue than what was spent here.

De Blasio’s comments also follow the dark outlook presented by City Comptroller Scott Stringer Tuesday.

Stringer said that the city faces a budget gap totaling $8.7 billion over the remainder of this fiscal year and the next—which ends June 30, 2021.

Stringer also noted that one of in five working New Yorkers will be out of a job by the end of June—and that the unemployment rate will reach 22 percent by the end of the quarter, the highest in the city’s postwar history. He said that the rate will be at about 12 percent at the end of the year.

“There’s going to be a lot of pain and heartache,” Stringer said yesterday.

Stringer said that New York City will lose 900,000 jobs by June 30, 2020 and a number of industries will be hit hard.

He said the hotel accommodation and food services industry will lose 184,300 jobs, followed by 178,000 in retail industry.

He said that the industries that require public interaction are being hardest hit.

The workers in these sectors are already among the most vulnerable and economically insecure,” Stringer said.

Stringer questioned de Blasio’s handling of the $8.7 billion budget hole. He said the mayor was drawing on reserves and making short term, superficial cuts.

He said that the cuts need to be deeper, suggesting each city agency needs to cut back its budget by 4 percent.

“It’s time to get serious,” Stringer said, noting that his office is cutting its budget back by 4 percent.

“We need to do this now to protect our social safety net,” he said, point to the need for sustainable cuts. “We’ve got to do this now to protect programs that serve the most vulnerable New Yorkers.”

email the author: news@queenspost.com

One Comment

Click for Comments 
Anthony LoBello

Yet no mention of him cutting his salary or making city council and other politicians or high ranking city officials work for minimum wage . He should lead by example . We the people will take another hit in the pocket.

Reply

Leave a Comment
Reply to this Comment

All comments are subject to moderation before being posted.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

Recent News

Burglar sought for stealing property, cash from employee locker room in Glendale: NYPD

Police from the 104th Precinct in Ridgewood are looking for a burglar who stole property and cash from an employee locker room at a warehouse in Glendale that is home to the Finback Brewery factory and other businesses on the night of Thursday, July 18.

The perpetrator entered the building at 76-01 77th Ave., near Edsall Avenue and the Long Island Rail Road tracks, just before 8 p.m. and proceeded to remove more than $1,340 in cash, a watch worth $140 and a wallet containing debit cards that belonged to one of the workers, according to an NYPD spokeswoman. The unidentified man fled the location on foot westbound on Edsall Avenue toward Cooper Avenue.

AG James announces dismantling of Queens-based ghost gun trafficking operation

New York Attorney General Letitia James announced Wednesday the takedown of a prolific Queens-based gun trafficking crew accused of selling firearms and ammo at an East Elmhurst playground, the Queens Center Mall and other locations around the borough.

James secured a 625-count indictment charging five men for participating in the gun smuggling ring, which involved selling dozens of ghost guns, assault weapons, high-capacity magazines and hundreds of rounds of ammunition.