Weslaco City Manager lays off 20 employees

Leonardo Olivares, Weslaco City Manager

Friday brought bad news for nearly two dozen city workers in Weslaco.

City Manager Leonardo Olivares told Action 4 News approximately 20 full-time positions were eliminated effective immediately.

This was my decision, not the City Commissioner TMs said Olivares.

He added the reduction in force was needed after losing more than $1 million in revenue through fines and fees.

All employees affected have been placed on administrative leave for five weeks, and will be eligible for rehire.

Olivares said they are expected to receive compensation and benefits until September 23, 2011.

The city is committed to maintaining our standard of service to our citizens, however, in these hard economic times; we must be disciplined to do more with less said Olivares.

In August 2010, the City of Weslaco faced major budget cuts and proposed a 20% reduction in force which affected first responders.

Tough economic times are also hitting the city of Donna.

A city worker confirmed to Action 4 News that city employee salaries would be cut 10% across the board effective August 1st through September 30th.

City Manager Oscar Ramirez was unavailable for comment.