Legislative news:

►  In today's Everett Herald -- Lawmakers say record budget deficits made them cautious -- Democrats severely strained relations with their core constituencies of teachers, union workers, health care providers and environmentalists. Organized labor is likely smarting more than any group. An errant e-mail robbed that group of its top policy objective, legislation curtailing employers' ability to hold mandatory meetings where unionizing activities can be denounced. Unions also suffered basic pocketbook issues. Schools, colleges and state government will be shredding jobs. Teachers and state workers who survive won't get raises. "Right now there is a lot of anger and hostility out there," said Rep. Mike Sells, D-Everett, who will return to work as secretary-treasurer of the Snohomish County Labor Council. Emotions may not subside by the next legislative session or election season.

►  In today's Everett Herald -- Governor to call Legislature back for special session -- The governor intends to call them back on a date to be determined. (As time expired) the House still had several bills on its docket to run, including bills dealing with school levy equalization funding, deportation of immigrant offenders and the suspension of funding for teacher pay raises. In a special session, those are expected to be handled. But other legislation could be discussed, too. Brown said she wanted to pursue an environmental bill she had pushed unsuccessfully during the regular session. A spokesman said the governor is very interested in getting through her cap-and-trade legislation.

►  In today's Olympian -- State worker insurance funding trimmed -- The change means workers will be more exposed to cost increases in health care. The bill specifies some ways to make up the difference, including higher co-payments paid by workers. The latest budget would set aside $745 per employee, per month, for the next year to cover health insurance costs. That’s $3 less than the lowest figure Democrats previously had considered.

►  In today's News Tribune -- Lawmakers approve cuts in criminal supervision in final hours -- The measure calls for the state to supervise fewer criminals when they’re not behind bars, and cut the maximum length of supervision for those who are watched. Senators passed the bill Saturday on a 26-23 vote, sending it to Gov. Chris Gregoire for final approval.

►  In today's Olympian -- Session's effects on state workers -- The Senate estimates it will require laying off 7,000 to 8,000 employees, including teachers, state workers and college employees. 

►  Today from AP -- Lawmakers delay family leave program -- The Legislature has delayed for three years a new program giving parents five weeks of partially paid time off for a new child.

►  At TheNewsTribune.com -- Newspapers get their tax break, now pay the same rate as Boeing -- The state Senate late last night approved a 43% cut to the B&O tax paid by newspapers.

►  In today's Seattle Times -- Struggling newspapers don't need this help (editorial) -- Editor's note: No, it's not an editorial about their tax break. They WANT that. 

►  In today's Daily World -- Pontoon project gets a kickstart -- A bill kickstarting the job-rich 520 pontoon construction project has passed the Legislature and is moving to the Governor’s desk.

►  At TheNewsTribune.com -- Leavin' on a jet plane, don't know when we'll be back again -- I ran into Johnson & Johnson & Johnson, the labor comedy act, outside the House doors a few minutes ago and I guess they're lickin' their wounds over the next beating they're about to take.

Local news:

►  In Sunday's Spokesman-Review -- Displeased unions disrupt Democrats' dinner plans -- The Democrats' official reason for scaling back their traditional $50 a plate hotel fundraiser into a $15-a-plate barbecue is that times are tough. But the real reason, other sources say, is that unions, which traditionally purchase a significant number of $50 tickets, sent word they weren’t coming. Nothing against the local party, they said. But if Spokane Democrats were inviting some of the party’s bright lights, such as Gov. Chris Gregoire or Spokane’s own Senate Majority Leader Lisa Brown, they weren’t shelling out 50 clams or even 50 cents. Says Beth Thew of the Spokane Regional Labor Council: “We’re trying to send a message to the Democratic elected leadership on how disappointed we are with some of the things that have been done, or not been done, for working families.”

►  In today's News Tribune -- Goodwill, L&I settle fine for worker death -- State labor regulators and Tacoma Goodwill Industries have settled the organization’s appeal of a nearly $50,000 fine stemming from the death of a developmentally disabled worker just over a year ago.

Boeing news:

►  In Conde Nast's Portfolio  -- Bumpy ride (MUST-READ article) -- (The 787) fell victim to infighting between Boeing’s bean counters and engineers, who had to gamble on a low-cost -- but unrealistic -- manufacturing strategy. “We may have gone a little too far, too fast” with the technology and materials and in outsourcing production, Boeing chief executive James McNerney told Condé Nast Portfolio. “The program was more than we could handle." ... The Dreamliner’s problems have exacerbated the broader decline of Boeing, once one of the world’s most admired manufacturers. ... Boeing also stumbled by adopting a Dreamliner-like outsourcing strategy on a $20 million Homeland Security contract to create a 28-mile “virtual fence” along the Mexican border... When Boeing delivered the equipment in 2007, hardly any of the pieces, bought from dozens of subcontractors, fit together. ... No large manufacturer had ever before so audaciously turned over control of the entire process -- from concept to shipment -- to outside firms. In a critical oversight, no provision was made for monitoring the suppliers.

National news:

►  From AP -- GM to cut 21,000 US factory jobs, shed Pontiac -- GM will cut 21,000 U.S. factory jobs by next year, phase out its storied Pontiac brand and ask the government to take more than half its stock in exchange for half of GM's government debt as part of a major restructuring that would leave current shareholders holding just 1% of the company

►  In the Arkansas Democrat-Gazette -- Union woos Wal-Mart workers in 17 states -- "We've seen a pretty significant uptick in calls from Wal-Mart workers across the country," says a UFCW spokesperson. "The workers just seem to be emboldened in a way that they have not been in the last few years." A supercenter in North Miami Beach, Fla., is the latest hot spot for Wal-Mart union activity. Workers who have been signing up potential members gathered in the store's parking lot last week to deliver a petition to store management to "cease its coercion, intimidation and unfair labor practices" aimed at blocking union representation.