NYC mayor offers tax increases, sees job losses

NEW YORK -- Mayor Michael Bloomberg, facing a possible $6 billion shortfall next fiscal year, said Thursday he will move to reduce the city work force by 8,000, through layoffs if possible.

He also reiterated his call for an income tax on commuters.

"I believe we can continue through early retirements and buyouts to downsize the labor force without layoffs," the first-term Republican told a City Hall news conference. Layoffs would come "if we cannot get through this any other way" by 2004. The city's work force is around 250,000.

He called for increased property taxes and the imposition of an income tax on commuters to help the city battle a budget deficit that could climb to $6.4 billion in the next fiscal year.

Bloomberg stressed that he did not want the city to face the fiscal crisis of the 1970s, when citywide layoffs led to increased crime and decreased services.

"We cannot let that ever happen again in this city," said Bloomberg.