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The American Federation of Government Employees, the largest federal government labor union, condemned the move and promised to fight the administration’s “threat to unions and working people” in a Thursday statement.

Public employers pay part of the cost of premiums as negotiated with labor unions; workers pay the rest.

The move could place the Democratic governor at odds with powerful public sector labor unions, who represent state workers in California.

Once doors were closed, the diner’s remaining 25 workers gathered inside, received manila envelopes containing their final checks and, with support from their labor union, refused to leave.

District Judge William Alsup granted temporary relief to a coalition of labor unions and advocacy groups that had sued to stop the terminations and ordered the OPM to notify federal agencies of his ruling.