Los Angeles to cut 3,000 city jobs

LOS ANGELES, Feb. 19 (UPI) -- Facing a $212 million deficit and threats of a credit downgrade, the Los Angeles City Council ordered city agencies to eliminate 3,000 jobs, officials said.

Agency heads have been told to eliminate the jobs by July 1 "by any means necessary, including layoffs," the Los Angeles Times reported Friday.


The downsizing is in addition to 1,000 job cuts already planned, the newspaper said.

The council decision Thursday followed a meeting with City Administrative Officer Miguel Santana, who told members unless the city finds more revenue or cuts costs, the budget shortfall is predicted to balloon to $485 million in 2010-11.

Moody's Investment Services, one of the country's leading financial credit rating agencies, has issued a negative rating for the city because of its deficit struggles, the Times reported.

Under the plan approved by a 9-3 vote, police officers and firefighters would not be exempt from possible job cuts, the council said.

The two agencies account for about 70 percent of the city's discretionary budget, the Times said.

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