What if your state employer said they couldn't pay you at the moment?
@revellanotvanella (4033)
United States
July 2, 2009 3:39pm CST
That is the situation in California right now which started rearing its head last year. An IOU meaning they owe you and many contractors, agencies and employees in the state are in danger of getting caught up in this web. With a billion dollar deficit one can only wonder are RATIONS next? This is not the first time and in fact California has had to issue IOU's 17 years ago and it took a delay of 5 weeks to actually pay people back. Five weeks doesn't sound that bad but for many small businesses already struggling that could nearly put them out of business.
How would you deal with someone handing you a IOU?
3 responses
@anotherxidentity (1434)
• United States
2 Jul 09
I heard about that in the news the other day and its all really depressing. The thing is so many families are living paycheck by paycheck or at least count on some sort of income each month and I don't see how those families are going to afford their bills if all they are getting is IOUs. 5 weeks is long enough and with the state California is in I don't know if they're going to be able to pay those workers even by then.
Its quite obvious that the governor of California is not capable of running the state and someone needs to step in and take control and figure out what is going wrong - but of course how ever doubts Arnold?
But that is the thing - there are a ton of other states in the same predicament. I think I've heard Illinois and Pennsylvania are just 2 of the other ones that are being to face budget issues. Thankfully it hasn't hit Virginia yet.
@anotherxidentity (1434)
• United States
3 Jul 09
Yeah I don't think the state is going to be giving out IOUs like California but they are having issues paying their budget and figuring out what budget cuts they want to make and if they want to cut taxes etc. The biggest debate of course is over education and if thats going to see another decline this year.
@cripfemme (7698)
• United States
3 Jul 09
If it was an IOU for stuff I wanted- books, restaurants, ink, writer supplies, computers that'd be okay. If the IOU wasn't redeemable for anything, I have more of an issue.
@OConnell87 (1042)
•
2 Jul 09
i wouldn't accept an IOU, thats not fair on people who have bills to pay, your creditors are not going to accept that you can't pay your bill right now but you can later and give them an IOU you would simply have e.g. phone cut off
