Saturday, July 12, 2014

City employees are waiting for pay day

February 19. 2013 10:09PM
Story Tools
PrintPrint | E-MailEMail | SaveSave | Hear Generate QR Code QR
Send to Kindle

WILKES-BARRE – A city official Friday said employees should know by early next week whether they will be paid in full or at all in the midst of an estimated $2 million revenue shortfall.

Payroll for the pay period of Dec. 21 will be submitted by departments on Monday, said Drew McLaughlin, administrative coordinator for the city.

In the following days the city will determine what cash is available and what the expenditures are for the week in order to determine if it can make payroll that averages between $550,000 and $600,000, he said.

I think by mid week we'll pretty much know if we'll hit that mark, McLaughlin said.

If the city cannot make payroll, it would defer payments until a later date, he added.

He was uncertain what penalties, interest and other costs would be added because of the late payments.

McLaughlin reiterated a statement by Mayor Tom Leighton who, months ago, warned about a payless payday or reduced paychecks. McLaughlin said it remains a possibility.

The issue arose out of the mess created by CENTAX, the company formerly contracted by Luzerne County to collect and distribute earned income taxes. The city has been receiving payments, but the slow pace led to the budget deficit.

At the beginning of the month the city reduced its workforce of 279 employees and temporarily laid off 11 firefighters and four Department of Public Works employees until the end of the year to make up for the revenue shortfall. Two other employees volunteered for furloughs and 12 employees retired.

comments powered by Disqus Commenting Guidelines
Mortgage Minute

Search for New & Used Cars

Used New All

Search Times Leader Classifieds to find just the home you want!

Search Times Leader Classifieds to find just what you need!

Search Pet Classifieds
Dogs Cats Other Animals

Social Media/RSS
Times Leader on Twitter
Times Leader on Youtube
Times Leader on Google+
The Times Leader on Tumblr
The Times Leader on Pinterest
Times Leader RSS Feeds