Dallas to furlough workers as city faces $30M budget shortfall
The City of Dallas has announced it will furlough city employees and executives for three days this year to help address a $30 million budget shortfall.
The city, in a news release on Tuesday, June 30, set the furlough days as July 10, Sept. 4 and Sept. 28, calling them "actions necessary to maintain financial stability."
"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," Dallas City Manager Kimberly Bizor Tolbert said in a statement.
The city pointed to the 2026 budget, seeing a decrease in revenue while operating costs continue to increase.
The city is facing a $30 million budget shortfall in 2026and a projected $51 million shortfall in 2027, the Dallas Morning News reports.
According to the city, on the three dates, non-uniform employees funded by the city's general fund will be required to participate in the furlough, and the days will be recorded as leave without pay. Employees will not be able to use sick leave, vacation time or comp time.
The only employees exempted are police, firefighters, paramedics and 911 employees, as well as departments funded by the city's enterprise fund, including but not limited to Dallas Water Utilities, Aviation, Convention and Event Services and Sanitation.
The city also added that some employees of Fleet Services and Information Technology Services will be exempt based on operational needs.
City executives who are non-uniform at or above the assistant director level - across general fund and internal service fund departments - will also be required to take two additional floating furlough days before Sept. 16
The city implemented several budget cuts in April, the release said, including a selective hiring freeze on non-uniform positions in general fund departments, eliminating non-uniform overtime except for "mission-critical needs" and suspending non-essential travel.
"Despite the cost-saving actions taken, General Fund expenses continue to outpace revenue, prompting the announcement regarding furlough days to help ensure financial balance," the city's release concluded. "The City will continue to closely monitor revenue and expenditure forecasts as FY26 progresses."
Mateo Rosiles is the Texas Connect reporter for USA TODAY and its regional papers in Texas. Got a news tip for him? Email him at mrosiles@usatodayco.com.
This article originally appeared on USA TODAY: Dallas to furlough workers as city faces $30M budget shortfall
Reporting by Mateo Rosiles, USA TODAY NETWORK / USA TODAY
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This story was originally published June 30, 2026 at 5:03 PM.