Layoff Shoe Drops In Troubled Detroit

Detroit Mayor Dave Bing, who outlined an emergency plan two days ago, isn’t wasting any time taking action. Today, Bing said the city will lay off 1,000 employees, or about 9 percent of the city’s payroll, by Feb. 25.

Detroit Mayor Dave Bing

Layoff notices will be delivered starting the week of Dec. 5, the mayor said. The cutbacks are aimed at saving about $14 million. The city faces a $45 million shortfall by the end of its fiscal year in June, and a report recently said the city could be out of cash by mid-summer.

The mayor also ordered an immediate hiring freeze for civil service jobs, except in the Detroit Water and Sewage Department, where the city must comply with a court order allowing hiring to continue.

Bing said the layoffs would be “strategic” to protect core services like police and fire protection as much as possible. He also is pushing unions to make cuts, but thus far, they have resisted.