While staffing levels may reflect Berkeley’s strong commitment to local services, they also reveal a structural cost problem—one that helps explain the city’s persistent budget deficit.
Employees Per 1,000 Residents – East Bay Comparison
City | Employees per 1,000 Residents |
Berkeley | 21.4 |
Alameda | 15.1 |
El Cerrito | 14.9 |
Oakland | 14.5 |
Walnut Creek | 13.0 |
Albany | 8.5 |
Source: California State Controller https://publicpay.ca.gov/Reports/Cities/Cities.aspx
Why This Matters
· Personnel costs dominate Berkeley’s spending. Roughly 54% of total expenditures—and a striking 68% of the General Fund—go toward salaries and benefits.
· High staffing levels magnify cost pressures. Even modest increases in wages, pension contributions, or healthcare premiums compound quickly across such a large workforce.
· Fixed labor costs limit flexibility. Unlike project-based expenses, personnel costs recur every year and are difficult to reduce without layoffs or cuts to city services.
The Bigger Picture
These numbers highlight a structural issue rather than a short-term budget hiccup. When so much of the city’s operating budget is tied up in personnel, even small cost escalations can push the city further into deficit.
Addressing this imbalance doesn’t mean cutting essential services—it means aligning staffing levels, compensation growth, and service priorities to ensure that Berkeley’s fiscal health is sustainable for the long term.
