Governor Bob Holden has cancelled the furloughs of state employees which had been planned for next month. The Governor had previously announced that the current budget situation would force more cuts and withholdings. He said certain state workers would be furloughed for two days in June to help deal with the budget problems. Now, Holden says the furloughs will not be necessary. He attributes that to the federal government’s reimbursement of $1.5-Million of charges formerly paid from the state’s general revenue account. In addition, all new hires have been frozen for the remaining six weeks of the current Fiscal Year.