Mayor Daniel Lurie (Photo by Hayden Blaz, April 18, 2024 | Source: Wikimedia Commons | License: CC BY-SA 4.0)
San Francisco Mayor Daniel Lurie proposes cutting city jobs and reducing $185 million in contracts to address a budget deficit. The plan preserves public safety and services while facing union pushback.
SAN FRANCISCO – Facing an $800 million budget shortfall, Mayor Daniel Lurie has proposed a sweeping plan to stabilize San Francisco’s finances—one that includes the elimination of approximately 1,400 city jobs, signaling what he calls the end of “the era of soaring city budgets.”
The proposal, which lays out a $15.9 billion two-year budget, marks the first major fiscal initiative under Lurie’s administration and comes as the city confronts revenue declines, pandemic-era spending fatigue, and the looming threat of federal funding rollbacks under the Trump administration.
Cutting Costs Without Compromising Core Services
At the heart of the mayor’s plan is a reduction in the city workforce, with about 100 of the eliminated positions currently filled across 17 departments. The rest are vacant roles that will be defunded, bringing the total city workforce to under 33,000.
“This is not easy,” Lurie said at City Hall. “But if we want a city that can still deliver clean streets, public safety, and housing support—we have to make the hard choices now.”
In addition to job cuts, the budget calls for a $185 million reduction in contracts and grants over two years—intended to bring spending closer to pre-pandemic levels, adjusted for inflation. However, Lurie emphasized that essential services will be protected: there are no cuts to police officers, and additional funding will be allocated to street-cleaning crews.
A $400 million reserve has also been built into the budget to prepare for potential reductions in state and federal assistance—particularly in anticipation of policy shifts by President Trump’s administration, which has already proposed clawing back pandemic-era grants from sanctuary cities like San Francisco.
Public Response and Union Pushback
Several labor unions immediately pushed back against the proposed cuts. The Service Employees International Union (SEIU), representing thousands of city workers, criticized the plan for targeting frontline staff while preserving large cash reserves. The San Francisco Building and Construction Trades Council joined the criticism, calling the cuts premature and urging the city to explore alternative solutions—such as negotiating tax settlements with tech and hospitality giants like Airbnb.
“This budget would gut key services and hurt the very workers who kept the city running through a pandemic,” said Theresa Rutherford, SEIU 1021 vice president. “It’s a disinvestment in San Francisco’s future.”
Community advocates also expressed concern about the potential erosion of mental health programs, senior services, and housing support—particularly as the city continues to face a housing and homelessness crisis.
Looking Ahead: A Summer of Debate
The Board of Supervisors will take up the proposal throughout June, with Budget Committee Chair Connie Chan promising a thorough review. While acknowledging the severity of the deficit, Chan said she would advocate for revisions that preserve vital services for vulnerable populations.
“There are tough decisions ahead,” Chan said. “But we must protect the residents who depend on us most—without weakening our city’s workforce or long-term recovery.”
