Labor Leader On Malloy Tax Plan: "It has to go much higher"

Organized labor made two complaints Thursday about Gov. Dannel P. Malloy's proposal for a $1.5 billion tax increase: It's not big enough, and the rich won't pay enough of it.

"It has to go much higher," said John Olsen, the president of the Connecticut AFL-CIO.

But how high? Is Olsen, a former Democratic state chairman, advising the first Democratic governor in 20 years to rely exclusively on taxes to erase a $3.2 billion deficit? Should Malloy double his proposed tax increase?

Olsen wouldn't say. Neither would House Speaker Christopher G. Donovan, D-Meriden, who gave Olsen a 60-second introduction at the press conference, then tried to leave without answering questions.

Malloy and his administration insist that he will go no higher on taxes.

"We're getting screamed at for proposing one of the biggest tax increases in Connecticut history," said Roy Occhiogrosso, a Malloy adviser. "How much higher are we supposed to go?"

The coalition of state employee bargaining units responded to Malloy's call this week for $1 billion in concessions and other labor savings by insisting, as they have for two years, that Connecticut has too little tax revenue, not too much spending.

It is a message unpopular with the public and flatly rejected by Malloy, who says he will cut other spending and not raise taxes further if the employees do not agree to concessions that would include a pay freeze, furlough days and higher co-pays. Malloy says current compensation levels are not sustainable. 

"In our budget crisis, state employees are erroneously being defined as the problem, their wages and benefits deemed 'unsustainable.' These are our state employees whom we depend on for our well-being and for the safety of our families and communities," Olsen said.

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