Four months in, the mandate has become a labor fight
On July 1, a Wednesday, Gov. Gavin Newsom's order requiring tens of thousands of California state employees to work in person four days a week finally took effect.11 Coverage at the time described a policy that was taking effect over the objections of unions, after attempts to change it in the Legislature, and after a delay of more than a year.1112 Four months later, the change is no longer an administrative matter. On October 21, a Wednesday again, SEIU Local 1000 walked off the job statewide for one day. The union cited pay, healthcare costs and the office mandate as its grievances.13
The two Wednesdays are best read together. The office mandate, the state's long effort to shrink its payroll and the stalled contract talks are one dispute. Workers say the state wants to cut its employment costs and also require them to pay more to show up. The administration says in-person work helps the public. So far, neither side has found an arrangement that gives each something it wants.
What the July rollout actually looked like
Newsom signed the executive order in March 2025. It called for four days a week in the office, up from the two-day schedule many workers had followed since 2024.11 Under a 2025 budget deal, the requirement was pushed back a year. In return, unions accepted cuts to the state's payroll costs while California closed a $12 billion deficit.24 The Sacramento Bee reported that the deal included a leave program that reduced pay. Most employees still got a net raise because the state also let them pause some retirement contributions.26
When July arrived, the rollout was uneven. Most departments said they would comply, but each made its own exceptions.11 The Employment Development Department did not have enough workstations to bring everyone back at once, so it planned to return some groups in phases and exempted all of its call center units.11 The Department of Education stayed on two days a week through January 2027 after a suspected bedbug infestation.11 Some departments kept only part of their staff remote, and the Department of Child Support kept everyone on flexible telework.11 Workers who live more than 50 miles from their office, or who need disability accommodations, could keep working remotely. Other exemptions were decided case by case.11
That patchwork matters. If a desk shortage, a pest problem or a manager's judgment can decide who comes in four days a week, workers have reason to doubt that operational need is the real basis for the policy. The union has used that argument from the start.
The money argument cuts both ways
Newsom's stated reason has stayed the same. In 2025 he said that working together improves collaboration, innovation and accountability, and that this leads to better service for Californians.11 In his May 2026 budget presentation, the Bee reported that he seemed exasperated that employees were still resisting, and he said the administration wanted to finish the job.24 Downtown Sacramento's business leaders also wanted the policy. They have pushed since 2022 for office workers to come back, and one of them called state workers the core of the district.11
The opposing case relies heavily on the state's own auditor. Coverage in June cited an audit finding that keeping state workers in the office two days a week could save the state $225 million a year.11 The Bee described the same report as finding savings of more than $200 million on office space.23 The figures differ slightly, but they point the same way. Then there is the cost to workers. SEIU Local 1000 asked for a 20% raise over three years, partly to cover the expense of commuting most days.11 Its proposal breaks down as 7% this year, 7% in 2027 and 6% in 2028.19 The union also asked for a $25 commuting stipend for employees required to work in person.22
The state did not budget for the move back either. A Bee review of Newsom's January 2026 proposal found no additional money for departments to handle the return to four days a week.23 Taken with the EDD's workstation shortage, this suggests the mandate began without the space or funding to support it everywhere.
The job cuts behind the dispute
The office mandate has arrived during several years of steady cuts to the size of state government, even though no one has been laid off. The 2024 deficit led the administration to plan the elimination of about 10,000 vacant positions. A Finance Department memo told agencies not to use layoffs or early retirement to meet savings targets.31 The state later lowered that goal and eliminated 6,500 vacant jobs, saying it saved about $1.2 billion. Vacancies tied to public safety and 24-hour staffing were protected.2528 The largest cuts came from the Department of Transportation, which eliminated 621 unfilled positions, and from the Corrections Department.30
The cuts continued in 2026. Newsom's January budget expected to save hundreds of millions of dollars by eliminating more than 6,000 additional vacant positions, and it claimed more than $3 billion in savings from reduced state operations over two years.23 In May, while defending his record, Newsom rejected the claim that state government has too many employees. He also pointed to fewer vacancies, hiring reforms and pilots of what he called "worker-first AI tools."24 The Bee reported that results from the AI pilots were mixed. Half of the first eight proposed tools are no longer under contract.24
The union has said for some time that these cuts are not cost-free. In 2025, Local 1000 President Anica Walls said vacant jobs still represent work that has to get done. In her view, eliminating them puts more strain on current staff and makes services worse.25 Reading the record together, a workforce that has absorbed thousands of eliminated positions and two rounds of pay concessions is now also being told to commute more. That helps explain why a union that had never gone on strike statewide did so in October.
The strike, and what the reporting disagrees on
The October 21 strike was a first for Local 1000. A strike was authorized in 2016, but it never happened statewide. This time more than 96% of members voted in favor.19 Picket lines formed in Sacramento, Los Angeles, San Francisco and other cities.14 The Bee counted nearly half a dozen lines in Sacramento and 15 more around the state, from San Diego to Eureka.22 It also called the walkout the largest state worker strike in California history. Newsom has been governor for both walkouts the state has ever had, this one and a 2023 strike by CAPS-UAW.22
The immediate cause was the contract, which expired in June. The union accused the state of bargaining in bad faith.2 It said the state rejected nine of its proposals on June 30, the same day the old agreement ran out.22 Another account said the union had filed an unfair labor practice charge with the Public Employment Relations Board.13 Newsom made things worse in September by vetoing a union-backed bill. It would have required agencies to explain in writing why workers had to report to the office.35 On the picket lines, workers kept saying they were being sent back to offices only to sit in video meetings.1322
Outlets agree on the main facts but differ on details. The Associated Press dates the union's founding to 20041, while other accounts describe a 44-year history.1314 The Bee reported that about 4,400 members were considered essential and exempt from the strike22. Another report put that number at about 5,000, mostly in prisons.13 Membership figures range from 96,00011 to more than 100,000.2 The most important difference is about what happens next. One report said mediation was scheduled to resume.14 Another said CalHR had set no new bargaining dates right after the strike.13 CalHR's public statement did not settle the question. It said only that the department was committed to a fair and responsible agreement and remained available to bargain.122
The Bee's account adds detail about the strike itself. According to the paper, CalHR tried and failed to get the state labor board to block it.22 The paper also reported that in earlier side conversations, the state said the union would not come back to the table without a telework deal. The union answered that it was waiting for a fair offer on several issues, including wages.22 That account conflicts with the official position that only pay and healthcare are holding up an agreement. Telework appears to be central to the impasse.
Why it matters beyond Sacramento
The walkout lasted only one day, and state agencies used contingency plans. Some services at the DMV, the EDD and State Parks had limited hours or delays.13 The larger issue is political. Newsom leaves office in January and is widely expected to run for president in 2028.2 He has made the return to offices part of his argument that he runs government efficiently. The union, meanwhile, is pointing to the state's improved budget. In May, Walls said the stable budget showed the state could afford bigger raises.24
The office mandate will probably still be in place when Newsom leaves office, and it is unlikely to be the same policy his successor inherits. Its exemptions keep growing, the state has not paid to support it, and its own auditor has questioned the cost. The mandate now overlaps with a contract fight that has already produced a first-ever strike. Whoever governs next will have to settle the questions Newsom left open: whether in-person work is worth what it costs, and whether a smaller workforce can be asked to give up more.
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Sources
- 01California state workers begin 1-day strike over return-to-office mandate, pay and healthcare — apnews.com
- 02California state workers begin 1-day strike over return-to-office mandate, pay and healthcare — kdhnews.com
- 03California state workers launching 1-day strike over return-to-office mandate, pay and healthcare - ABC News — abcnews.com
- 04California State Workers Begin 1-Day Strike Over Return-To-Office Mandate, Pay and Healthcare — usnews.com
- 05California state workers begin 1-day strike over return-to-office mandate, pay and healthcare — chron.com
- 06CA State Workers Begin 1-Day Strike Over Return-To-Office Mandate, Pay And Healthcare — patch.com
- 07California state workers launching 1-day strike over return-to-office mandate, pay and healthcare - MyNorthwest.com — mynorthwest.com
- 08California state workers stage one-day strike over return-to-office mandate, pay and healthcare - Lookout Santa Cruz — lookout.co
- 09California state workers begin 1-day strike over return-to-office mandate, pay and healthcare — news10.com
- 10California state workers begin 1-day strike over return-to-office mandate, pay and healthcare — timesunion.com
- 11Return-to-office mandate for state workers starts Wednesday. Here's what to expect — abridged.org
- 12Return-to-office mandate for state workers starts Wednesday. Here’s what to expect - CAPPS — cappsonline.org
- 13California State Workers Strike Over Pay, Healthcare, and Return-to-Office Mandate - Newsy Today — newsy-today.com
- 14California State Workers Launch Historic One-Day Walkout Over Pay and Remote Work Rules — azat.tv
- 15California state workers begin 1-day strike over return-to-office mandate, pay and healthcare — rochesterfirst.com
- 16California state workers begin 1-day strike over return-to-office mandate, pay and healthcare — hr.economictimes.indiatimes.com
- 17California state workers begin 1-day strike over return-to-office mandate, pay and healthcare — idahostatejournal.com
- 18California state workers begin 1-day strike over return-to-office mandate, pay and healthcare — newsnationnow.com
- 19California state workers to go on strike Wednesday — ktla.com
- 20California state workers launching 1-day strike over return-to-office mandate, pay and healthcare — bakersfield.com
- 21California state workers on strike: What picketing workers say — sacbee.com
- 22For now, Newsom’s rosy budget proposal bodes well for state worker payroll costs — sacbee.com
- 23Newsom reaffirms plan to bring state workers back to offices — sacbee.com
- 24California pledged to cut 10,000 vacant state jobs. Why were only two-thirds eliminated? — sacbee.com
- 25How CA's $18 billion deficit could affect union negotiations — sacbee.com
- 26California weighs cuts as Newsom readies May budget revision — msn.com
- 27Governor Newsom sends 2025-26 budget plan to Legislature — gov.ca.gov
- 28LAO: California Gov. Gavin Newsom could cut vacant state worker jobs to solve budget deficit — sacbee.com
- 29How many unfilled state jobs did California cut? — sacbee.com
- 30California is cutting 10,000 vacant jobs to address budget shortfall. Will it be enough? — sacbee.com
- 31Newsom’s Budget Revisal Proposes 10,000 Vacant State Jobs Being Cut, Cuts To 260 State Programs — californiaglobe.com