Mayor Bass Proposes Layoffs to Address $1 Billion Budget Deficit

More Than 1,600 City Workers at Risk as LA Faces Deep Cuts; Public Hearings Begin

LOS ANGELES – Confronting a nearly $1 billion shortfall, Mayor Karen Bass has introduced a sweeping proposal to stabilize Los Angeles’s finances, calling for the elimination of more than 2,700 city jobs—including 1,647 currently filled positions. The proposed cuts, which exclude sworn police officers and firefighters, represent approximately 5% of the city’s workforce and signal one of the largest municipal downsizing efforts in decades.

“This was a very difficult budget to balance,” Mayor Bass said. “Layoffs are a last resort, but we cannot close the gap without serious action.”

The plan comes amid economic headwinds and rising operational costs, placing pressure on city leaders to take urgent steps while attempting to preserve essential services.

Departments Facing the Largest Cuts

Several city departments are bracing for deep personnel reductions:

  • Los Angeles Police Department (civilian staff): 403 positions
  • Transportation Department: Over 260 jobs
  • Bureau of Sanitation: 159 positions
  • Bureau of Street Services: 130 positions
  • Other departments impacted include City Planning, General Services, and Animal Services.

Streamlining for Savings

In an effort to modernize city operations, the proposal includes a consolidation of three departments—the Department of Aging, Economic and Workforce Development Department, and Youth Development Department—into the Community Investment for Families Department, a move projected to save $5 million.

City officials say this restructuring is part of a broader effort to maintain service delivery while cutting administrative overhead.

What’s Fueling the Crisis?

Several key developments have driven the city’s current fiscal strain:

  • Surging legal liabilities, with payouts reaching $300 million—three times the historic average.
  • Higher labor costs due to new employee contracts, adding $259 million to city obligations.
  • Declining revenues from sales, hotel, business, and property taxes.
  • Post-disaster recovery costs from January’s Palisades wildfire, which left 12 people dead and destroyed more than 1,000 homes.

Union Opposition Builds

The proposed layoffs were met with immediate resistance from labor groups.

“We’re not going to allow out-of-touch bureaucrats to balance the budget on the backs of city workers,” said David Green, president of SEIU Local 721, which represents over 10,000 city employees. “Even one layoff is too many.”

Green’s comments reflect growing concerns among union leaders that essential frontline roles could be lost despite reassurances that emergency services will remain intact.

Mayor Bass has said she is actively pursuing state assistance to help soften the blow and prevent further reductions. Meetings with state lawmakers in Sacramento are underway.

Council Deliberations and Public Input to Determine Final Cuts

The City Council’s Budget and Finance Committee has started its formal review of the proposal. Public hearings will continue throughout May, offering residents and organizations a platform to weigh in.

The final budget must be approved before July 1, 2025, when the new fiscal year begins.

Despite the tough choices, Mayor Bass remains hopeful:

“We must navigate this moment responsibly—protecting our most vital services while making the tough calls needed to restore financial balance.”

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