California ? Thousands of state workers were told to stay home Friday under an order by Gov. Arnold Schwarzenegger aimed at cutting expenses for California’s cash-strapped government, but a lawsuit filed by a union claims the governor is overstepping his authority.

Schwarzenegger’s order, signed Thursday as he struggled with a budget stalemate, eliminated 10,300 seasonal, contract and part-time positions. It also ordered that up to 200,000 permanent, full-time state workers will receive the federal minimum wage of $6.55 an hour in their paychecks until the budget is passed. They would then be reimbursed.

The lawsuit by the Service Employees International Union – California’s largest state-employee union – said laying off workers without notice violates the state Constitution and numerous laws, including those governing seniority.

Schwarzenegger cannot decide such sweeping employment actions by “executive fiat,” according to the lawsuit filed in Sacramento County Superior Court.