Memo outlines state’s strict new hiring rules; Healey insists there’s no ‘freeze’
Gov. Maura Healey said Wednesday she is not “imposing” a hiring freeze on agencies under her control even as an internal memo sent a day earlier calls on administration officials to “immediately pause” hiring processes and seek pre-approval before posting new jobs.
Healey’s decision to restrict the autonomy of executive branch agencies and secretariats to seek new employees without sign-off from her budget office comes amid flagging state revenues that have put pressure on Beacon Hill to reign in spending. But Healey’s critics, including the MassGOP, said the move came too late to prevent “damage.”
At an unrelated event in West Barnstable, Healey said she is not shutting down hiring completely and is allowing for exceptions to the approval process all in an effort to “manage within the budget.”
“This is making sure that our agencies, as they think about postings and positions, that we’re taking the time to ask ourselves whether it’s really necessary to fill those positions at this time,” she said. “But I am requiring that we tighten our own belts and exercise some judgment and fiscal responsibility as we look at the revenue picture and what we have in terms of a remaining deficit before the end of the fiscal year.”
In a memo to cabinet secretaries and agency heads sent Tuesday, the state’s interim chief human resources officer, Melissa Pullin, said hires, rehires, or transfers into an executive department agency will “be permitted only where affordable within existing payroll caps” unless they fall under a list of exemptions.
“Agencies should immediately pause their hiring processes, including scheduling any new interviews or extending offers,” the memo said, according to a copy provided to the Herald.
The memo did not describe the tightened hiring measures as a hiring freeze but did inform all executive branch agencies that they were required starting Wednesday through the end of June to submit waivers to fill open or new positions.
For current job postings that do not fall under an exemption, agencies must either remove the job posting and notify applicants that the “the job opening has been temporarily suspended due to fiscal constraints” or apply for a waiver from the state’s budget office no later than April 16 at 5 p.m., the memo said.
“For positions that do not fall in the exception categories, agencies can request a waiver to hire for individual positions from their (Administration and Finance) analyst. Approval must be granted prior to posting and a copy of the (Administration and Finance) approval must be attached to the MassCareers requisition and offers,” the memo said.
But the messaging may have become mixed up among officials outside of the state’s budget office, with one source saying the protocols were described late Tuesday night as a “temporary hiring freeze” that applies to all full-time positions funded on operating or capital accounts.
Healey said the new hiring rules are “not hard and fast” and bringing on new employees will be done on a “case-by-case” basis.
“I’m not imposing a hiring freeze. What I am imposing and what we’re asking our agencies to do, is follow hiring controls to make sure that we’re making the best decisions in terms of spending money for the rest of the fiscal year because I have an obligation to manage within budget,” she said.
The list of exemptions is long, covering everything from a bacteriologist to a child care licensing specialist and clinical social workers to corrections offices, according to the memo. Other exempted positions include firefighters, human services coordinators, state police troopers, physicians, and various types of nurses.
Limiting the hiring process comes as state revenues have consistently run below benchmarks since the start of fiscal year 2024, even sagging beneath a revised estimate that dropped expectations by $1 billion.
It is still unclear how much money can be saved by limiting hiring. A spokesperson for the Executive Office of Administration and Finance said they are not expecting “huge” savings but more clarity should come as the end of the fiscal year approaches.
Dismal tax returns have generated calls from conservative groups to curtail spending amid massive bills like the $1 billion-a-year emergency shelter system for local families and migrants.
MassGOP Chair Amy Carnevale said cabinet secretaries should give up raises they were handed this year.
“Why don’t Democrats follow their own principles and have executives take pay cuts for the benefit of the Commonwealth?” she said in a statement.
Tax figures released Wednesday offered some hope that revenues could rebound.
The state collected just over $4 billion from taxpayers in March, which is nearly 5% more than the same time last year and 3.3% above expectations for the month, according to the Department of Revenue.
Massachusetts is still running a $145 million deficit for fiscal year 2024 and all eyes are on April, one of the most critical tax collection months that can make or break a budget.
“March revenues are more positive than we had expected. That said, we still have an obligation to manage within budget, so we think that this hiring controls initiative here, which will run through the end of the fiscal year, is something that is necessary. It’s is important to do,” Healey said.