Md. Employee Furlough Plan Unconstitutional: Court

Law360, New York (August 19, 2009, 5:54 PM EDT) -- A Maryland county's plan to furlough 5,900 union employees to maintain a historically high credit rating and avoid layoffs in the wake of the recession is unconstitutional, a federal judge has ruled.

Prince George's County's employee furlough plan unilaterally reduced employee wages guaranteed by collective bargaining agreements, in violation of the contract clause of the U.S. Constitution, U.S. District Judge Alexander Williams Jr. of the District of Maryland ruled Aug. 18.

“The court certainly appreciates the county’s inclination to avoid layoffs, given the difficult economic times...
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