Chicago is facing a nearly $1 billion deficit, and officials are saying measures beyond a hiring freeze are needed, as Christian Farr explains.
With a projected budget deficit of nearly $1 billion for fiscal year 2025, Chicago officials have imposed a hiring freeze and other cutbacks, but will those decisions impact the city’s police and fire departments?
According to city Budget Director Annette Guzman, the hiring freeze and restrictions on overtime pay and non-essential travel will go into effect immediately, but not all departments are impacted.
In an email to NBC Chicago’s Kate Chappell, a Chicago spokesperson said that the restrictions on hiring will not have a set expiration date, but will not apply to public safety workers.
“Positions mandated by ordinance, and those required under the consent decree, including public safety personnel, are exempt from the current hiring freeze,” the spokesperson said.
According to city officials, the administration is collaborating with both Chicago police and fire to “monitor attrition rates” and to ensure adequate staffing levels, along with recruiting efforts.
Restrictions on overtime pay will also not apply to members of the fire and police departments, the spokesperson said.
“The budgetary restrictions placed on overtime do not apply to our public safety offices,” the spokesperson said.
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According to estimates, the city’s projected budget deficit for FY 2024 will clock in at approximately $222.9 million, which is still below previous estimates from earlier in the fiscal year.
With the expiration of COVID assistance and other factors taken into account, the budget deficit for FY 2025 is estimated to be $982.4 million, according to Guzman’s office.
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That deficit led the city to announce the hiring freeze amid other cost-cutting efforts.
“These measures, while necessary, reflect our commitment to responsible fiscal management during a time of financial uncertainty,” Guzman said in a statement. “The City’s leadership team, including the Office of Budget and Management (OBM) and the Department of Finance, are working diligently to navigate these financial challenges and ensure the continued delivery of essential services to our residents. We appreciate the cooperation of all City departments as we implement these cost-saving measures.”
The Chicago City Council still needs to vote on a new budget for the coming fiscal year, with Mayor Brandon Johnson telling reporters he is willing to consider a variety of options to help close the gap.
