Q&A
Discussion on city workforce vacancy rates and PS accruals
5:42:10
·
178 sec
Council Member Brannan and Director Jiha discuss the city's workforce vacancy rates and potential savings from Personal Services (PS) accruals. Jiha explains that expected savings will be lower than in previous years due to earlier budget adjustments.
Key points:
- Current vacancy rate is about 5.6%, with 284,000 positions filled out of 301,000 budgeted
- OMB expects some PS accrual savings by the end of the fiscal year, but less than in past years
- The city is making progress in hiring, with a net positive increase for the first time in a long time
- Historical vacancy rate has been around 5%
Justin Brannan
5:42:10
I wanna talk about, PS accruals a bit.
5:42:13
The executive plan includes a budgeted full time headcount of just over 301,000 in the current year.
5:42:21
As of April, there were just over 284,000 positions filled, which should make for a vacancy rate of 5.6%.
5:42:30
The executive plan included a peg, for a small amount of savings from PS underspending.
5:42:36
So how much additional savings do you expect the city, will accrue from the vacant positions at the end of the fiscal year?
Jacques Jiha
5:42:44
It's probably gonna be much smaller than we had in the past for the simple reason that as part of the, PEG, programs that we implemented throughout the year, a lot of the PS accruals, okay, were taken as part of this plan.
5:43:02
So the agency already gave us a lot of those savings.
5:43:07
So to form a perspective, there's very little left.
5:43:10
And, so if you were to listen to what people are saying, so we have a lot of savings out there that could accrue to us, it would mean that the agencies would have to cut significantly.
5:43:21
Because people felt sometimes to understand, because you have a lot of budgeted account, doesn't mean that the agencies have the resources.
5:43:28
Okay?
5:43:29
Very often, they use those resources for other things.
5:43:32
Okay?
5:43:33
Alright?
5:43:34
So the fact that having it doesn't mean that it's there.
5:43:37
Okay?
5:43:38
So, again, we took a lot of the savings as part of the PEG plan PEG programs.
5:43:44
Okay.
5:43:44
So what's left is probably there's some left.
5:43:47
Okay.
5:43:47
I'm expecting some to be left, by the end of, the the fiscal year, but, not as much as we had in in the past.
Justin Brannan
5:43:57
That the actual, headcount will trend upwards in f y 25?
Jacques Jiha
5:44:04
We the the, you know, the the administration is is working with her.
5:44:09
They're doing all kind of, town halls and it's extremely difficult to hire.
5:44:14
It is I mean, I'm not, you know, we we try every single thing that you can imagine.
5:44:20
But, the attrition rate is significant.
5:44:23
But this year so far, we're making significant progress as I, you know, as I tell folks, it's first time in a long time I'm seeing.
5:44:31
We hired about 21,000, folks, this year, and I believe we are treated about 16,000.
5:44:38
Okay?
5:44:38
So the first time we had, like, a net positive in a long time.
5:44:42
So it's trending in the right direction.
Justin Brannan
5:44:45
What would what would you consider a natch a natural vacancy rate for the city workforce?
Jacques Jiha
5:44:51
It's, that sound like a new concept, natural vacancy rate.
5:44:58
But, historically, you know, the current 5.5% is about what we have historically.
5:45:03
So if you wanna call it natural, I would call it that historical weight is about 5%.
