Payless payday warning for city workers in Hamtramck
Updated On: Apr 03 2013 07:23:12 PM EDT
The city of Hamtramck told workers not to expect any pay next week, and this isn't the first time it has happened.
Hamtramck has a long history of financial troubles.
Several years ago the city had an emergency manger and now the city appears to be close to having another one.
Kyle Tertzag, the city's fifth financial manger in the last year, issued a warning letter about a payless payday back in March.
Now the warning may become a reality.
"Today we confirmed that is not going to happen. We are not going to be issuing paychecks on April 10th in fact," said Tertzag.
Hamtramck has $31,196 in the bank and city payroll is estimated at $300,000. The payless payday is no surprise, but it is unsettling to the city's 98 workers.
"It's the last check, you just pay the necessities and leave the rest in the bank and worry about your most important bills, which in my case is my house payment and DTE," said city worker Marie Kendzierski.
Gov. Snyder is about to appoint a financial review team to Hamtramck. State treasure Andy Dillon rejected the city's deficit elimination plan.
"We have to get concession from the labor unions based on their Cadillac labor contracts, his (Dillon's) words," said Tertzag.
The fire union says it is offering concession. "We agreed to some pay cuts, sharing of medical insurance costs, some man power reduction, accommodations to dispatch with police," said Matt Wyszczelski from union local 750. Tertzag says the offer doesn't go far enough.
But, if employees don't get paid next week, what about services to the city's 23, 000 residents?
"We expect all of our employees to show up for work as they would any other day," said Tertzag. "The payroll is going to get made; it is just a matter of when."