The state of Illinois is canceling its contract with its largest public employee union.  Officials with Governor Pat Quinn's administration say the state will not extend its contract that covers the nearly 40-thousand state, county and municipal employees with the AFSCME union.  

The previous contract expired in June.  The Quinn administration said yesterday it has attempted to bargain in good faith over the past 11 months and has extended the contract three times but has not seen much from the union in the way of concessions.  Union leadership called the move by Quinn historic, and believes the decision will lower worker morale and make a settlement more difficult.  Governor Quinn has pushed for AFSCME workers to take a pay cut and pay more for their own insurance.  In recent weeks, the state has backed off the pay cut request, but continues to support more employee health care contributions.

(Copyright WBGZ Radio/