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The Red Line

The Case for a CT Wage Freeze: Fairness, Budget Relief and Real Pension Progress

Connecticut state employees are enjoying their sixth consecutive annual pay raise, pushing their wages up 33% under Ned Lamont and the Democrats. It is time for a wage freeze such as imposed by Lamont’s predecessor Democrat Dannel Malloy.

September 27, 2024

CT state employee wages are now the second highest in the nation. State employee compensation is ... $10.0 billion, or about $2,775 for every man, woman and child in the Nutmeg State.

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Talking With CT GOP Chairman Ben Proto About a State Employee Wage Freeze

BEN PROTO

I know one of the big issues that you've been talking about is state employee wages in the state of Connecticut. Let's talk about state employees and what Ned Lamont and the Democrats have done over the last, roughly, six plus years that they've been in power.

RED JAHNCKE

Let's go right to the core of that issue. While Ned Lamont has been in office, state employees have received a compound 33% increase in their wages. Six consecutive annual wage increases: beginning 5.5%, 5.5%, and four 4.5% amounts.

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Time for a State Employee Wage Freeze

Unionized state workers in Connecticut are dramatically overpaid. This is unfair and unsustainable. It is time for a wage freeze such as former governor Democrat Dannel Malloy imposed.

September 4, 2024

Democrats have given unionized state employees six straight annual pay hikes since Ned Lamont took office: 5.5%, 5.5%, 4.5%, 4.5%, 4.5% and 4.5%, which compound to 33%. A state worker making $100,000 in January 2019 is making $133,000 today.

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The Fiscal Year Begins Badly — the Outlook is Worse

I’ve said that Governor Lamont’s “Connecticut Comeback” and his claimed “progress on pensions” are myths, so I was interested in CT Mirror’s report that the “Brand new CT budget [is] already plagued by a $170 million hole” in the very first month of the new $26 billion fiscal year budget. This news doesn’t have the ring of a “comeback.”

August 14, 2024

According to the Office of Fiscal Analysis, the “hole” was caused by a $70 million “shortfall in the Higher Education Alternative Retirement [pension plan] line item.”

August 17, 2024

Another $40 million took the form of a “deficiency in the Teachers’ Retirement Board budget [teachers’ pension fund] due to a shortfall in the Retirement Contributions line item…” Doesn’t sound like progress on pensions.

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Now, Biden Should Resign

Now that Joe Biden has stepped down as Democrat candidate for president and endorsed Kamala Harris, the question arises whether he should resign as well. This Wednesday, Israeli Premier Benjamin Netanyahu will address Congress. Seemingly unrelated, the address and Biden’s fitness for office are closely connected.

July 22, 2024

The recent history between the two leaders has been fraught, but the immediate future would be truly dangerous.

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Unfit as a Candidate, Unfit as an Incumbent

Joe Biden is unfit for the presidency. He is unfit right now. It is not that he is incapable of campaigning effectively over the next four months or of providing presidential leadership over the next four years.

July 13, 2024

His current mental deficit was manifest in the recent debate. His obvious physical deficits reinforce the assessment of overall infirmity. He walks like a stick man and stumbles and falls regularly.

July 15, 2024

Biden’s unfitness is being processed as a partisan issue. Democrats are agonizing over his candidacy. They worry that he cannot campaign effectively. Yet the real worry is that he cannot govern effectively - not just in a second term, but for the next six months until Inauguration.

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“Hamas Can’t Be Destroyed.” – IDF Spokesman

“Hamas can’t be destroyed.” So announced Israel Defense Forces spokesman, Rear Admiral Daniel Hagari, last week. Immediately, Prime Minster Netanyahu contradicted him, revealing extraordinary disarray at the highest levels of the Israeli government.

July 1, 2024

Actually, Netanyahu’s rebuke was a concession, in which he reformulated his original war aim of “eradicating Hamas” into “the destruction of Hamas’s military and governance capabilities.”

While the concession was long overdue, it did not acknowledge the whole of what Hagari said “This business of destroying Hamas, making Hamas disappear – it’s simply throwing sand in the eyes of the public. Hamas is an idea, Hamas is a party. It’s rooted in the hearts of the people – anyone who thinks we can eliminate Hamas is wrong.” The “idea,” of course is freedom for Palestinians.

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April’s Surprise for Uncle Sam and CT

April this year brought a nice surprise for federal and state tax collectors. Uncle Sam enjoyed unexpectedly robust net income tax receipts of $483 billion, amounting to a $103 billion or 27%, increase over April 2023, according to the Congressional Budget Office. Uncle Sam can use the revenue, but even a $100 billion surprise will hardly make a dent in ongoing massive federal deficits.

April 25, 2024

The increase was driven by a $77 billion, or 26%, increase in final payment of non-withheld income taxes, namely net taxes paid in estimated installments throughout the year. A large portion of non-withheld taxes are taxes on capital gains.

Connecticut enjoyed the same unexpected serendipity. Net non-withheld individual income taxes in April hit $1.7 billion, amounting to a $275 million, or 19%, gain over April 2023. Yet towering deficits loom.

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An April Surprise

April brought a big surprise – unexpectedly robust individual income tax receipts of $483 billion, a $103 billion, or 27%, increase over April 2023, according to the Congressional Budget Office. Uncle Sam can use the revenue, but even a $100 billion surprise will hardly make a dent in ongoing massive federal deficits. But why was it unexpected?

April 25, 2024

The increase included a $77 billion, or 26%, increase in final payment of taxes paid in estimated installments throughout the year, so-called non-withheld taxes. A large portion of non-withheld taxes are taxes on capital gains.

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Lamont’s “CT Comeback” and His “Progress on Pensions” Are Myths

During his re-election campaign - and ever since, Governor Lamont has claimed credit for a Connecticut Comeback and for “progress on pensions.” Yet long-term debt has increased $3 billion. The unfunded liability of the state employee pension fund (SERS) has barely improved, despite that the state has put a whopping $5 billion in special deposits into it. The latest news on the economy is that Sikorsky will be laying off 400 workers. Where’s the Comeback? Where’s the progress on pensions?

April 25, 2024

When did you last hear of a major business moving into Connecticut?

This week every Democrat in the General Assembly voted for Governor Lamont’s 4.5% state employee wage increase for next fiscal year that will bring wage increases during Lamont’s time in office to an eye-popping 33% total increase. A state employee making $100,000 just prior to Lamont’s inauguration will get $133,000 next year. Nice pay if you can get it, and 46,000 unionized state employees will get it.

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