In response to Gov. Schwarzenegger’s directive today to cut the pay of state workers to the federal minimum wage until a budget is passed, the California State University announced that CSU employees will continue to receive their regular compensation.

“We want to let CSU employees know that we have received confirmation from the State Controller’s office that our employees’ compensation is not impacted by this order,” said CSU Chancellor Charles B. Reed. “Employees will receive their regular paychecks and can expect their normal compensation.” 

The CSU intends to pay its employees with alternative revenue sources other than state general funds if it becomes necessary.

Gov. Schwarzenegger has announced an order to cut the pay of about 200,000 state workers to the federal minimum wage of $7.25 an hour until a budget is signed. Payroll decisions for the first month of the fiscal year, which began on July 1, do not need to be made until July 20.