Cleveland school district cancels 3% raises for 7,000 union workers

The Cleveland School District has notified union employees that they won't receive pay raises scheduled to take effect this week.

About 7,000 union employees were to receive 3 percent raises if money was available, but the district says its financial outlook is too bleak. The deadline for official word was extended from March 1 until Tuesday, June 30, in the hope that a new state budget might provide relief.

However, state legislators have been unable to come to terms on a new two-year spending plan.