SEIU Local 1000 Responds to Reports of State Budget Miscalculation Ahead of Contract Bargaining

SACRAMENTO – SEIU Local 1000, the union representing nearly 100,000 California state workers, is calling out recent reporting by KCRA 3 that the state may have significantly more funding available than previously claimed due to a $2 billion CalPERS-related budget miscalculation.

The report comes just days before SEIU Local 1000 begins bargaining its 2026 contract with the State of California, raising serious questions about the state’s claims that it lacks the resources to invest in its workforce and provide fair pay.

The outcome of these negotiations will impact the services millions of Californians rely on every day, from the DMV and EDD to public health and infrastructure. When the state fails to invest in its workforce, Californians feel it through delays, understaffing, and reduced service quality.

“We understand the state faces many challenges,” said Susan Rodriguez, Chief Negotiator for SEIU Local 1000. “But we also know that state revenues continue to come in higher than expected.” 

“In fact, the Department of Finance just acknowledged that it’s been hiding a $2 billion dollar budget accounting mistake related to CalPERS contribution rates, months after the LAO pointed out the miscalculations,” Rodriguez said. “Now that we have a more accurate picture of the budget, we’re hoping that the standard ‘we just don’t have the money’ reply to economic proposals can be put to rest as we begin bargaining.” 

Rodriguez emphasized that the issue is not whether the state has the resources, but how those resources are prioritized.

“In the fifth largest economy in the world, bargaining a fair contract for California civil service workers is not a question of whether the state has the money. It’s a question of priorities,” she said. 

SEIU Local 1000 will begin bargaining with the State on Wednesday, April 22. The union is seeking a contract that includes fair pay, affordable healthcare, secure retirement, and telework policies that work for both employees and the public.