Warning that New Jersey faces a dire $2.8-billion budget shortfall, Gov. James E. McGreevey announced that about 600 state employees face layoffs.
McGreevey, who took office last week, made the announcement at a town meeting at Montclair State University in Upper Montclair.
McGreevey's announcement was one of several ominous forecasts this week by governors around the country.
In Missouri, Gov. Bob Holden said he plans to eliminate nearly 700 jobs. Virginia Gov. Mark Warner also warned that state layoffs were possible as he outlined deep spending cuts.