Wilson Considers Bond Issue Over Tax Increase : Recovery: Governor says hike is premature until state determines how much federal aid will be given to quake victims. He eases labor laws to expedite rebuilding.

Gov. Pete Wilson hinted Thursday that he might favor a bond issue--a form of government borrowing--over tax increases if the state needs to raise more money to finance recovery from the Northridge earthquake.

The governor also unveiled two programs to help businesses rebuild more quickly, and issued an emergency order easing labor laws to make it easier for companies to place workers on flexible work schedules.

But Wilson said it is still too soon to decide whether the state will need more money, or will be able to get by on aid from the federal government.

“At a time when Californians are attempting to recover from a recession, we don’t need additional tax burdens,” Wilson told reporters.

Legislation calling for a quarter-cent increase in the state sales tax for two years to help pay for earthquake repair was introduced Thursday by Sen. Tom Hayden (D-Santa Monica). The tax increase would take effect Feb. 1 and last until March 31, 1996, and would raise an estimated $1.5 billion, according to Hayden’s office.

Wilson presided over a meeting of his full Cabinet on Thursday--the first such gathering outside the Capitol during Wilson’s term--then toured three newly opened disaster assistance centers.

After the Cabinet meeting, Wilson said he agreed with Democratic state Sen. Bill Lockyer’s reasoning for proposing a $2-billion earthquake recovery bond issue. Details of the plans for the bond issue are expected to be announced Monday. It could be placed on the statewide ballot in June.

Wilson pledged that his Administration would seek to mirror the heroism he has witnessed among Los Angeles residents as the task of rebuilding begins.

“We simply will not tolerate any bureaucratic delays in the rebuilding effort,” Wilson said.

The governor said two state programs used after the riots--small-business bridge loans and a one-stop permit center--would soon be available to help companies damaged by the quake.

With an emergency order aimed at easing traffic congestion, Wilson also eased labor laws so that companies can deviate from the traditional eight-hour, five-day work week.

As a result, employers will be allowed to put workers on 10- or 12-hour workdays and shorten the work week without running afoul of overtime laws. The emergency order is designed to increase the use of flexible work time in hopes of reducing traffic jams during commutes.

The governor said state officials in Los Angeles also will be exploring changes in state workers’ hours to help spread the flow of freeway traffic.

Among his stops, Wilson toured the Winnetka Community Center, the first of the federal disaster assistance centers to open. When he arrived, he saw hundreds of people waiting in lines to apply for help rebuilding their homes or finding new shelter.

At the center, he spoke with U.S. Housing Secretary Henry Cisneros, Transportation Secretary Federico Pena and Federal Emergency Management Administrator James Lee Witt in an effort to devise ways of speeding the service.

As the governor left the center, a disabled woman, unable to withstand the long wait in line, tearfully asked him to help her. Wilson paused, then escorted the woman into the center where she was assisted. Later, emergency workers promised to provide chairs for people waiting in the lines.