Atlanta Mayor Kasim Reed urged Georgia Gov. Sonny Perdue to trim the state's workforce and channel some of the savings back into education, according to the Atlanta Journal-Constitution. He pointed out that Atlanta cut its city workforce from 9,654 in 2008 to 7,500 this year, "And we haven't gone far enough."
But Sonny Perdue said the state already is working with a skeleton crew, although he realizes Georgia needs to trim the budget somehow. Meanwhile, the state's unemployment rate remains high at 10.3 percent for June and many residents are just a pink slip away from needing Atlanta bankruptcy lawyers.
Kasim Reed addressed a special commission on Georgia tax reform when he challenged the governor to make additional state workforce cuts. He said it's actually part of a broader plan to generate jobs, grow wages and improve education. For example, one of his other recommendations is to grant future tax exemptions on the basis of the recipients' ability to create jobs or provide job training.
Georgia lost 7.6 percent of its jobs during the current recession, which Kasim Reed said was one of the highest rates in the nation. The state's declining revenues, high unemployment and stagnant wages, he added, make it nearly impossible for Georgia to spur economic development:
"Georgia must make strategic investments now or risk becoming a second-tier state... The state needs to spend more dollars on job creation and training. Training is a direct link to creating a skilled workforce that attracts businesses that hire workers who earn higher wages."
Economist Jeffrey Humphreys of the University of Georgia said Georgia was so hard hit by the recession because its economy was heavily steeped in finance and housing, both of which suffered the biggest losses in the past couple of years.
Related Resources:
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Dhawan Projects 'Quasi Growth' for Georgia (Georgia Business Chronicle)
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Contact a Bankruptcy Attorney in Atlanta (FindLaw)
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"Cash for Caulkers"? Obama's Home Retrofit Program (FindLaw's Law & Daily Life Blog)
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