You may have read or heard about recent warnings that workers in state, county and local government could face massive layoffs if federal aid is not provided to NJ.
Layoffs would hurt our fight against COVID-19 and our chances at economic recovery.
Unfortunately, New Jersey – like many other states hit hard by COVID-19 – faces large budget shortfalls caused by high unemployment, lack of economic activity, and ongoing emergency expenses to fight the virus. There is no doubt this virus has become a publiceconomic crisis in addition to public health emergency. Layoffs are not the answer to the fiscal crisis. They will only worsen the strain on local and state economies.
We know that layoffs are not the solution to this budget problem. The State, County and Municipalities all need budget assistance, or there will not be enough money to fund operations. Layoffs are one possible result but they will not fix the economic hole created by this virus. In fact, they would only make New Jersey’s recovery harder. Layoffs would massively disrupt government at a time when residents need those services most.