Marblehead Needs Union Concessions To Avoid Layoffs

MARBLEHEAD, MA — Marblehead will ask the unions that represent its workers to make concessions to close a $1.6 million budget gap.

Town Administrator Jason Silva, who agreed to take a $5,000 cut to his annual salary, told selectmen last week the town has so far avoided laying off workers. But the $37.7 million budget for the fiscal year beginning July 1 will likely see some employees having their hours cut.

"Along with the public health crisis we’re experiencing will come an economic crisis most expect to be the worst since the great depression," Silva said.

Related Story: Marblehead School Committee Approves $41.5M Budget

Massachusetts towns and cities are still waiting for guidance from the state legislature as it finalizes the state budget. Silva projected a 10 percent cut in state aide when he drafted the budget proposal presented to selectmen. During the great recession that began in 2007, Marblehead saw a seven percent cut in state aide. After the great recession, Silva said, it took about five years for the town's finances to recover.