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LOS ANGELES - Mayor Karen Bass announced that she has concluded labor negotiations and secured an agreement to avert all remaining civil service layoffs in the Fiscal Year 2025-2026 City Budget. From proposing a budget to signing it into effect, Mayor Bass has been laser-focused on bringing the proposed number of layoffs from thousands of people potentially losing their jobs to no jobs lost while finding effective solutions to close a nearly $1 billion budget deficit. In addition to successful labor negotiations, layoffs were prevented through creative solutions such as transferring positions to other departments, like the Port of Los Angeles and Los Angeles World Airports, and working with General Managers on developing other alternatives.
"After months of negotiations and problem-solving, I can announce that agreements have been reached to avert all remaining layoffs," said Mayor Bass. "This action protects our skilled workforce and preserves City services. I will always fight for the people of Los Angeles - for your rights, for your jobs and for a better future for the next generations. Thank you to our labor partners for your partnership in reaching this point, to all those who embraced our creative solutions, to our City Council partners, and most importantly, the workforce for the services you deliver to the people of Los Angeles every day."
"Our collaboration landed this historic agreement, and it's one that we're extremely proud of," said David Green, President and Executive Director of SEIU Local 721. "Together, we're saving critical frontline positions, boosting revenues through joint efforts with city leadership, and strengthening the vital services Angelenos depend on."
"Preserving city services and protecting the workforce required to maintain these resources are the same conversation," said Matthew Maldonado, AFSCME."Our partnership with Los Angeles Mayor Karen Bass, City Councilmembers, and our fellow labor partners demonstrates a thoughtful approach to solutions that we hope continues as we face unprecedented and uncertain times ahead."
How the Mayor averted the potential for massive layoffs
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The City's 2025-2026 balanced budget was delivered amid an extremely difficult financial outlook with the City facing a $1 billion deficit driven by national downward economic trends bringing City revenues far lower than previously projected. The released budget included more than 1,600 layoffs but during the Mayor's State of the City Address, she pledged to city workers that she would keep working to avoid those coming layoffs.
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In June, Mayor Bass signed a balanced budget that preserved vital city services like street repair, traffic management and maintained parks and library programming. The approved budget restored more than 1,000 city positions at risk of layoff to ensure delivery of vital services like pothole repair, traffic management, positions that support future housing development and more.
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In June, Mayor Bass, the Office of the City Administrative Officer and the Personnel department took action to restore positions at risk of layoffs during the beginning of the new fiscal year. Departments began to shift employees within their budgets out of at-risk positions and into funded positions that became vacant or to specially-funded positions.
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Employees secured opportunities to transfer and fill vital positions within the Port of Los Angeles, Los Angeles World Airports and Water and Power Departments and other key departments.
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The Mayor led labor negotiators to bargain with labor partners, which resulted in agreements with three key labor union groups:
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The Los Angeles Police Protective League agreed for its members to voluntarily take overtime as paid time off in order to reduce LAPD overtime expenses and eliminate LAPD civilian layoffs.
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The LA City Coalition of Unions and Engineers and Architects Association agreed to take up to five unpaid holidays (Monday, February 9, 2026, Friday, March 27, 2026, Monday, April 6, 2026, Friday, May 22, 2026, and Monday, June 22, 2026) to avoid remaining civilian layoffs. The exact number of unpaid days will depend on how many employees are pending transfers to funded positions at the end of 2025.
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On September 23, 2025, Mayor Bass was joined by city workers and labor leaders to announce that through collaboration, layoffs have been averted.
The FY 2025-2026 Budget builds on successful strategies that have lowered both homelessness and crime since the Mayor was sworn in. It also contains:
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New investments in the Los Angeles Fire Department with more positions, funding for more paramedics and other resources and support.
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All sworn officers and firefighters are funded.
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Continued funding for 9-1-1 emergency dispatchers to lower wait times.
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Protection for homeless funding so people don't end up back on the streets - homelessness is down for the first time in years in LA.
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Resources to continue driving the Palisades recovery forward with urgency.
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Library, Recreation and Park facility hours maintained.
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Support for capital infrastructure projects are included, such as:
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Staff for the planning and coordination of LA Convention Center
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Funding for Sepulveda Basin improvements
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Recreation facilities in San Fernando Valley & South LA
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All positions preserved for the Emergency Management Department with a priority to expand with future funding.
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Continued funding for RepresentLA to provide legal representation to Angelenos.
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Funding to keep all Animal Shelters open and add strategic additional staffing support.