New York Governor Andrew Cuomo yesterday began his new job as head of the financially stricken state by announcing a personal pay cut.

Mr Cuomo, who warns he will seek big budget reductions to rescue the state from a projected nine-billion-dollar deficit, will reduce his salary of $179,000 by five per cent.

Top aides are taking the same cut and the executive branch’s budget will also drop five per cent.

“Change starts at the top and we will lead by example,” Mr Cuomo said in a statement. “Families and business owners in every corner of the state have learned to do more with less in order to live within their means and government must do the same.”

Mr Cuomo is expected to call this week for a salary freeze for all state workers, the New York Times reported. More than 900 state employees were laid off at the start of this year.

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