The City of Dallas will now require most “General Fund employees” to take three unpaid furlough days this year as officials scramble to close a $30 million budget shortfall, according to the announcement.
Non-uniform employees funded through the City’s General Fund must take leave without pay on July 10, September 4, and September 28.
The days will be recorded as unpaid leave, and employees will not be allowed to substitute sick leave or vacation time to offset any lost wages.
City executives are also being asked to shoulder a heavy load. All General Fund and Internal Service Fund non-uniform executives at or above the assistant director level must take two additional floating furlough days of their choosing before September 16, on top of the three mandatory dates.
Police officers, firefighters, paramedics, and 911 dispatch employees are exempt from the furloughs, as are workers in several self-funded departments, including Dallas Water Utilities, Dallas Love Field Airport, Convention and Event Services, and Sanitation.
The City said some Fleet Services and Information Technology employees may also be exempted depending on operational needs.
“Furloughs are not our preferred solution; however, they enable us to reduce expenses, protect jobs and employee health benefits, and continue delivering services to our residents,” City Manager Kim Tolbert said in a statement. She added that the steps are meant to “position the City responsibly” heading into the FY27 and FY28 budget cycle.
Impact Recap
The furloughs apply to both hourly and salaried non-uniform employees funded by the General Fund.
Salaried workers, including managers and executives, will receive no pay for the designated unpaid leave days. City payroll will deduct the equivalent daily rate from their regular salary, and they are prohibited from using accrued vacation, sick leave, or compensatory time to offset the lost wages.
Higher-level executives (assistant director and above) face an even greater impact, as they must take the three mandatory furlough days plus two additional floating unpaid days of their choosing before September 16.
This approach allows the City to reduce personnel costs across both hourly and salaried positions without resorting to layoffs while preserving health benefits and job security for affected employees.
A Pattern of Cost-Cutting
This furlough announcement is the latest in a series of cost-cutting steps that started in April. At that time, Tolbert put a selective hiring freeze on non-uniform General Fund jobs, limited overtime pay, and suspended non-essential travel for City employees, as previously reported by The Dallas Express.
Earlier this year the City projected expenses would exceed budget by roughly $16 million, driven largely by police and fire overtime pay, with sales tax revenue also running below projections. But that shortfall estimate has since fluctuated.
Chief Financial Officer Jack Ireland told council members last month that the budget gap could now range between $18 million and $34 million, citing rising overtime, healthcare costs, and slower sales tax growth.
Councilman Adam Bazaldua said in a statement published on June 30 that he learned of the decision through a press release rather than through council discussion, calling the move “incredibly frustrating” and adding that “cutting workers’ pay should be the “last resort we default to.”
Mayor Eric Johnson, who has described the City’s previously projected $5.2 billion budget as “bloated,” said in a separate statement to WFAA News that the City’s revenue has consistently fallen short of projections this year and that “the upcoming budget cycle must mark a turning point” toward long-term fiscal discipline. He added that he has pushed for spending reductions and that the effort has become increasingly urgent, arguing that the City cannot raise taxes without first addressing deeper issues.
For now, the furloughs are just a stopgap – the real budget reckoning arrives in August, when the City unveils its FY2027 proposal.
