California to lay off 20,000 if budget deal isn't reached

CNN 02/16/2009 18:25

Gov. Arnold Schwarzenegger warned lawmakers about potential job cuts last week.

Faced with a projected $42 billion deficit, California Gov. Arnold Schwarzenegger says his office will send out 20,000 layoff notices Tuesday if lawmakers fail to reach a budget deal before then, according to a spokesman.

The Republican governor, who declared a fiscal emergency in December, has butted heads for months with the Democratic majority over alleviating the state's $11.2 billion revenue shortfall.

He warned lawmakers about the cuts last week, urging them to approve the latest budget proposal.

However, voting was stalled during a 30-hour weekend session as the legislature mulled over 26 pieces of legislation that make up the budget package.

By Monday night, there was still no vote on the floor, and the State Assembly in Sacramento was not in session as night fell.

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