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Remington's demotion led to state Attorney General Brian Sandoval's filing of a lawsuit against the regents alleging several violations of the law.
Demotions, he said, are also disruptive to the organization, particularly during a downturn in the economy when senior leadership is often a premium.
O'Brien said his budget proposal has identified 131 positions designated for layoffs and demotions to address the $7 million shortfall in the fiscal 2012 budget.
Remington, in his first interview since his demotion, said he was blind-sided by his demotion.
The jury found for the plaintiffs and awarded Scott $700,000 and Johnson $625,000 in damages for past and anticipated lost earnings as a result of the demotion.
Lewis ordered the May 19 demotions as part of a reassignment of duties.
The Executive Employee Relations Committee, which consists of Mayor Richard Riordan and four City Council members, voted in closed session not to act on a request by Banks and Piersol to maintain their salary levels in the face of demotions set to take effect July 6.
I'm seeing changes in assignments that are essentially demotions, with a decrease in salary and status.
Comrie said his office will submit a report on the history and legal issues involved in the demotions and pay-grade system, and then the EERC will meet Thursday before forwarding a recommendation to the full council.
An additional 138 permanent workers face demotions and about 400 less-senior workers from through the system will be transferred to other health facilities, Staheli said.
Though the cuts clearly will hurt workers who face layoffs, demotions or transfers, Health Services Department Director Mark Finucane said he believed patients would suffer relatively little from the cuts.