11,000 SEIU San Francisco workers rejected changes to their contract that would have saved the city $38 million. Mayor Gavin Newsom did not respond in kind, saying yesterday that hundreds of workers will be laid off and more cutbacks will follow. Many speculate that smaller unions, in keeping with the SEIU local, will now reject the contract changes as well. The agreement would have eliminated paid holidays, but kept a 3.75% wage increase. The city is tackling a $438 million budget shortfall, prompting the mayor to seek $90 million in total concessions from city workers. SEIU leaders refused to comment on the matter, but indicated it was a close vote.
See "S.F. union rejects agreement - layoffs imminent", Heather Knight and Marisa Lagos, San Francisco Chronicle, May 14, 2009