Despite signs of recovery in the economy, the near future looks grim for the public sector. A lag between economic recovery and its impact on the public sector means the situation has not yet turned for public entities.

Most are struggling to provide services with less money and smaller staff. What's more, many senior staff members with years of knowledge and experience have taken forced retirement. This leaves the direction of a number of departments and the decisions they will make up in the air.

Camden, N.J., recently laid off half its police force and one-third of its firefighters when talks between unions and the mayor's office stalled. "This is a severe example of what's happening to a lot of cities," said Chris Hoene, research director, National League of Cities. He recently discussed on C-Span how cities have been impacted by the financial downturn and the sacrifices that are being made.

Want to continue reading?
Become a Free PropertyCasualty360 Digital Reader

Your access to unlimited PropertyCasualty360 content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Breaking insurance news and analysis, on-site and via our newsletters and custom alerts
  • Weekly Insurance Speak podcast featuring exclusive interviews with industry leaders
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical converage of the employee benefits and financial advisory markets on our other ALM sites, BenefitsPRO and ThinkAdvisor
NOT FOR REPRINT

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.