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<div class=Section1>

<p class=MsoNormal><font size=2 color=blue face=Calibri><span style='font-size:
11.0pt;font-family:Calibri;color:blue'>We are passing on this updated version
of a furlough communication that was issued yesterday.  <o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 color=blue face=Calibri><span style='font-size:
11.0pt;font-family:Calibri;color:blue'><o:p> </o:p></span></font></p>

<div>

<div class=MsoNormal align=center style='text-align:center'><font size=3
face="Times New Roman"><span style='font-size:12.0pt'>

<hr size=2 width="100%" align=center tabindex=-1>

</span></font></div>

</div>

<div>

<p class=MsoNormal align=center style='text-align:center'><font size=3
face="Times New Roman"><span style='font-size:12.0pt'><o:p> </o:p></span></font></p>

<p class=MsoNormal><b><font size=2 face=Tahoma><span style='font-size:10.0pt;
font-family:Tahoma;font-weight:bold'>Subject:</span></font></b><font size=2
face=Tahoma><span style='font-size:10.0pt;font-family:Tahoma'> UPDATED:
Management and unclassified unrepresented furloughs and salary freeze</span></font><o:p></o:p></p>

</div>

<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>

<div>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>To:       
            Agency
Directors<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:.5in;text-indent:.5in'><font size=2
face=Arial><span style='font-size:10.0pt;font-family:Arial'>Human Resource
Directors and Managers<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in'><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Payroll
Managers       <font color=navy><span
style='color:navy'>           
</span></font><o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>The asterisk in the second paragraph below refers to the
following statement:<o:p></o:p></span></font></p>

<p class=MsoFooter><font size=2 face="Times New Roman"><span style='font-size:
10.0pt'><o:p> </o:p></span></font></p>

<p class=MsoFooter><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>* These are the minimum number of furlough days required of
affected employees. Subject to budgetary constraints, the number of required
furlough days may increase. Note – this does not apply to classified
unrepresented or represented employees.<o:p></o:p></span></font></p>

<p class=MsoFooter style='margin-left:.25in'><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'><o:p> </o:p></span></font></p>

<div class=MsoNormal align=center style='text-align:center'><font size=3
face="Times New Roman"><span style='font-size:12.0pt'>

<hr size=2 width="100%" align=center tabindex=-1>

</span></font></div>

<p class=MsoNormal><b><font size=2 face=Tahoma><span style='font-size:10.0pt;
font-family:Tahoma;font-weight:bold'>Subject:</span></font></b><font size=2
face=Tahoma><span style='font-size:10.0pt;font-family:Tahoma'> Management and
unclassified unrepresented furloughs and salary freeze</span></font><o:p></o:p></p>

</div>

<p class=MsoNormal><font size=3 face="Times New Roman"><span style='font-size:
12.0pt'><o:p> </o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>To:       
            Agency
Directors<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:.5in;text-indent:.5in'><font size=2
face=Arial><span style='font-size:10.0pt;font-family:Arial'>Human Resource
Directors and Managers<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in'><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Payroll Managers      
<font color=navy><span style='color:navy'>           
</span></font><o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>From:   
            Scott L.
Harra<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:.5in;text-indent:.5in'><font size=2
face=Arial><span style='font-size:10.0pt;font-family:Arial'>Director<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-1.0in'><font size=2
face=Arial><span style='font-size:10.0pt;font-family:Arial'>Re:                  
Management and unclassified unrepresented (including executive service)<font
color=black><span style='color:black'> employee mandatory unpaid time off
(“</span></font>furloughs”) and salary freeze <o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>On behalf of the Office of the Governor, I would like to
express gratitude to all employees who have made personal sacrifices due to
cost reductions, yet continue to serve the citizens of <st1:place w:st="on"><st1:State
 w:st="on">Oregon</st1:State></st1:place> with their best efforts. Everyone in
state government understands how profoundly the recent economic downturn has
affected the state’s financial condition. <o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>State government will continue to take steps to reduce costs
as we move forward through the 2009-2011 biennium. For September 2009 through
June 2011, we will continue the use of mandatory unpaid time off
(“furloughs”) for all management and, unclassified unrepresented
(including executive service) employees throughout the Executive Branch. These
employee groups will take a <u>minimum number</u>* of furlough days based on
the following monthly salary tiers:<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l1 level1 lfo2'><![if !supportLists]><font
size=1 face=Symbol><span style='font-size:9.0pt;font-family:Symbol'><span
style='mso-list:Ignore'>·<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>         
</span></font></span></span></font><![endif]><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Tier
1:              
$2450 and
below            10
furlough days<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l1 level1 lfo2'><![if !supportLists]><font
size=1 face=Symbol><span style='font-size:9.0pt;font-family:Symbol'><span
style='mso-list:Ignore'>·<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>         
</span></font></span></span></font><![endif]><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Tier
2:              
$2451 and $3100           12
furlough days<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l1 level1 lfo2'><![if !supportLists]><font
size=1 face=Symbol><span style='font-size:9.0pt;font-family:Symbol'><span
style='mso-list:Ignore'>·<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>         
</span></font></span></span></font><![endif]><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Tier
3:              
$3101 and
above            14
furlough days<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>Except for 24/7 operations, state government will observe
the following 10 closure dates:<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l2 level1 lfo4'><![if !supportLists]><font
size=1 face=Symbol><span style='font-size:9.0pt;font-family:Symbol'><span
style='mso-list:Ignore'>·<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>         
</span></font></span></span></font><![endif]><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Friday, October 16, 2009<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l2 level1 lfo4'><![if !supportLists]><font
size=1 face=Symbol><span style='font-size:9.0pt;font-family:Symbol'><span
style='mso-list:Ignore'>·<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>         
</span></font></span></span></font><![endif]><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Friday, November 27, 2009<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l2 level1 lfo4'><![if !supportLists]><font
size=1 face=Symbol><span style='font-size:9.0pt;font-family:Symbol'><span
style='mso-list:Ignore'>·<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>         
</span></font></span></span></font><![endif]><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Friday, March 19, 2010<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l2 level1 lfo4'><![if !supportLists]><font
size=1 face=Symbol><span style='font-size:9.0pt;font-family:Symbol'><span
style='mso-list:Ignore'>·<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>         
</span></font></span></span></font><![endif]><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Friday April 16, 2010<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l2 level1 lfo4'><![if !supportLists]><font
size=1 face=Symbol><span style='font-size:9.0pt;font-family:Symbol'><span
style='mso-list:Ignore'>·<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>         
</span></font></span></span></font><![endif]><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Friday, June 18, 2010<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l2 level1 lfo4'><![if !supportLists]><font
size=1 face=Symbol><span style='font-size:9.0pt;font-family:Symbol'><span
style='mso-list:Ignore'>·<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>         
</span></font></span></span></font><![endif]><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Friday, August 20, 2010<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l2 level1 lfo4'><![if !supportLists]><font
size=1 face=Symbol><span style='font-size:9.0pt;font-family:Symbol'><span
style='mso-list:Ignore'>·<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>         
</span></font></span></span></font><![endif]><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Friday September 17, 2010<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l2 level1 lfo4'><![if !supportLists]><font
size=1 face=Symbol><span style='font-size:9.0pt;font-family:Symbol'><span
style='mso-list:Ignore'>·<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>         
</span></font></span></span></font><![endif]><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Friday, November 26, 2010<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l2 level1 lfo4'><![if !supportLists]><font
size=1 face=Symbol><span style='font-size:9.0pt;font-family:Symbol'><span
style='mso-list:Ignore'>·<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>         
</span></font></span></span></font><![endif]><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Friday, March 18, 2011<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l2 level1 lfo4'><![if !supportLists]><font
size=1 face=Symbol><span style='font-size:9.0pt;font-family:Symbol'><span
style='mso-list:Ignore'>·<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>         
</span></font></span></span></font><![endif]><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>Friday May 20, 2011<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>Employees in Tiers 2 and 3 will take their remaining
furlough days (i.e., 2 and 4 days respectively) as “float” days.
Employees in 24/7 operations will take all required furlough days as
“float” days as scheduled by agencies.<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>To reduce costs further, we will continue the <u>salary
freeze</u> implemented on March 1, 2009. This includes no step increases, a
prohibition on special salary increases and continuation of the <u>roll-back of
the “add/drop” step</u> effective July 1, 2008.<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>These measures affect all Executive Branch agencies,
excluding the Secretary of State, State Treasurer, Lottery, the Oregon
University System and Semi-Independent agencies. <o:p></o:p></span></font></p>

<font size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'><br
clear=all style='page-break-before:always'>
</span></font>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>The Human Resource Services Division will provide more
detail and applicable instructions for the <u>administrative aspects</u> of
these cost-reducing measures early next week. The following is basic
information concerning the implementation of furloughs and the salary freeze:<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:27.0pt'><b><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial;font-weight:bold'>Furloughs</span></font></b><font
size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'><o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l0 level1 lfo6'><![if !supportLists]><font
size=2 face="Courier New"><span style='font-size:10.0pt;font-family:"Courier New"'><span
style='mso-list:Ignore'>o<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>       
</span></font></span></span></font><![endif]><b><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial;font-weight:bold'>Vacation and sick
leave.</span></font></b><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>  Furloughs will not affect accrual of vacation and
sick leave.<o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:.75in'><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l0 level1 lfo6'><![if !supportLists]><font
size=2 face="Courier New"><span style='font-size:10.0pt;font-family:"Courier New"'><span
style='mso-list:Ignore'>o<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>       
</span></font></span></span></font><![endif]><b><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial;font-weight:bold'>Health insurance
premiums.</span></font></b><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>  Furloughs will not reduce the employer’s
contribution to health insurance premiums.<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l0 level1 lfo6'><![if !supportLists]><font
size=2 face="Courier New"><span style='font-size:10.0pt;font-family:"Courier New"'><span
style='mso-list:Ignore'>o<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>       
</span></font></span></span></font><![endif]><b><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial;font-weight:bold'>PERS contributions.</span></font></b><font
size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'> 
Furloughs will reduce PERS contributions in accordance with the resulting
decreases in pay.<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l0 level1 lfo6'><![if !supportLists]><font
size=2 face="Courier New"><span style='font-size:10.0pt;font-family:"Courier New"'><span
style='mso-list:Ignore'>o<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>       
</span></font></span></span></font><![endif]><b><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial;font-weight:bold'>Affected employees.</span></font></b><font
size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'>
 Furloughs affect management and unclassified unrepresented (including
executive service) employees in the Executive Branch, regardless of location
and funding type.<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l0 level1 lfo6'><![if !supportLists]><font
size=2 face="Courier New"><span style='font-size:10.0pt;font-family:"Courier New"'><span
style='mso-list:Ignore'>o<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>       
</span></font></span></span></font><![endif]><b><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial;font-weight:bold'>Float days.</span></font></b><font
size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'> Except for
24/7 operations, we will implement most furloughs on 10 pre-scheduled closure
days. Employees taking more than 10 furlough days because of their tier take
their remaining furloughs on a “floating” day basis. All employees
in 24/7 operations take their furloughs on a “floating” day basis. <b><i><span
style='font-weight:bold;font-style:italic'>Agencies may begin scheduling
floating furlough days in September 2009.</span></i></b><o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>  <o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l0 level1 lfo6'><![if !supportLists]><font
size=2 face="Courier New"><span style='font-size:10.0pt;font-family:"Courier New"'><span
style='mso-list:Ignore'>o<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>       
</span></font></span></span></font><![endif]><b><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial;font-weight:bold'>Exemption for Fair
Labor Standards Act.</span></font></b><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'>  Furloughs affect the FLSA
exemption for pay purposes. An employee who is FLSA-exempt becomes non-exempt
during the entire workweek of his or her furlough day(s). The supervisor must
manage the employee’s hours worked accordingly.<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l0 level1 lfo6'><![if !supportLists]><font
size=2 face="Courier New"><span style='font-size:10.0pt;font-family:"Courier New"'><span
style='mso-list:Ignore'>o<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>       
</span></font></span></span></font><![endif]><b><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial;font-weight:bold'>24/7 operations.</span></font></b><font
size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'> Each agency
with 24/7 needs will determine how to allocate furlough days to ensure adequate
service delivery and staff coverage.<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l0 level1 lfo6'><![if !supportLists]><font
size=2 face="Courier New"><span style='font-size:10.0pt;font-family:"Courier New"'><span
style='mso-list:Ignore'>o<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>       
</span></font></span></span></font><![endif]><b><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial;font-weight:bold'>Furlough tracking.</span></font></b><font
size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'>  We
will use a state payroll code to track furlough days to keep furlough days from
affecting health premiums and leave accruals and to ensure that we achieve the
Governor’s goal of reducing costs.<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:.25in'><b><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial;font-weight:bold'>Salary Freeze</span></font></b><font
size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'><o:p></o:p></span></font></p>

<p class=MsoNormal style='margin-left:.75in'><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l3 level1 lfo8'><![if !supportLists]><font
size=2 face="Courier New"><span style='font-size:10.0pt;font-family:"Courier New"'><span
style='mso-list:Ignore'>o<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>       
</span></font></span></span></font><![endif]><b><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial;font-weight:bold'>Step increases.</span></font></b><font
size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'>  The
state will award no additional step increases or special salary increases
during the freeze. The rolled back the “add/drop” steps that became
effective on July 1, 2008, remain in effect.  <o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal style='margin-left:1.0in;text-indent:-.25in;mso-list:l0 level1 lfo6'><![if !supportLists]><font
size=2 face="Courier New"><span style='font-size:10.0pt;font-family:"Courier New"'><span
style='mso-list:Ignore'>o<font size=1 face="Times New Roman"><span
style='font:7.0pt "Times New Roman"'>       
</span></font></span></span></font><![endif]><b><font size=2 face=Arial><span
style='font-size:10.0pt;font-family:Arial;font-weight:bold'>Affected employees.</span></font></b><font
size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'>  The
freeze affects management, and unclassified unrepresented (including executive
service) employees in the Executive Branch, regardless of location and funding
type.<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'><o:p> </o:p></span></font></p>

<p class=MsoNormal><font size=2 face=Arial><span style='font-size:10.0pt;
font-family:Arial'>The Human Resource Services Division is holding an HR forum
on Sept. 1, 2009 from 1 – 4 p.m. at the Employment Department Auditorium
to answer agency implementation questions. Information on this forum will be
communicated soon.<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>

<p class=MsoFooter><font size=2 face="Times New Roman"><span style='font-size:
10.0pt'>* These are the minimum number of furlough days required of affected
employees. Subject to budgetary constraints, the number of required furlough
days may increase. Note – this does not apply to classified unrepresented
or represented employees.<o:p></o:p></span></font></p>

<p class=MsoNormal><font size=2 color=navy face=Arial><span style='font-size:
10.0pt;font-family:Arial;color:navy'><o:p> </o:p></span></font></p>

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