The House, by a voice vote, “filed” the Ways and Means Committee report endorsing the passage of House Bill 17-22, also known as the Austerity Holidays and Unpaid Legal Holidays Act of 2010.
Acting Speaker Felicidad T. Ogumoro, Covenant-Saipan, presided over the session.
Education Commissioner Rita A. Sablan said it’s not fair to reduce the salaries of PSS employees, particularly teachers.
She said it will not only affect the workers but students as well, their families and the community.
PSS has over 900 employees and more than 700 of them are teachers and teacher aides.
During deliberations, the Republican minority said there are other ways to cut the cash-strapped CNMI’s personnel expenses.
Republican Tinian Rep. Trenton B. Conner said it is not right to cut the salaries of lowly paid employees when officials of the executive, judicial and legislative branches are protected from having their wages reduced.
He said any legislation cutting the personnel expenses of the CNMI government should be subjected to a public hearing to give those affected the chance to voice their opinion.
“I don’t feel it is right for us to legislate [a wage reduction] without hearing from them first,” said Conner. “Where is the responsibility to the community? To sacrifice the low-pay employees would burden them even more.”
Conner said the administration should also explain why it incurred a $17 million deficit in fiscal year 2009.
Rep. Francisco S. Dela Cruz, R-Saipan, said he will not support any austerity measure because it’s not fair.
He said the government should conduct a desk audit first and remove non-essential employees and help them find jobs in the private sector.
“I feel for those people who have no say on this — people who are making less than $50,000 per annum; people who have loans. Let’s look at the non-essential employees first. We should cut the fat,” he added.
Rep. Joseph P. Deleon Guerrero, R-Saipan, said the previous austerity Fridays during FY 2007 “was greatly flawed.”
“Not only because it touched people who haven’t got a raise for over 10 years. It ended up coming back to us — through lower revenues for our government,” he said.
House Minority Leader Diego T. Benavente, R-Saipan, also agrees there are better ways to resolve the financial crisis of the government other than austerity Fridays.
Rep. Ray N. Yumul, R-Saipan, said if the austerity Fridays are implemented it should be done equally otherwise it will further divide and demoralize the community.
Rep. Ramon A. Tebuteb, R-Saipan, said lawmakers should uphold their oath to protect the people’s interest.
According to House Ways and Means Committee report on H.B. 17-22, the government expects to incur a $15 million deficit this FY 2010 if no austerity measures are adopted.


