June 29, 2010
Rolling Back Pension Costs: How Far Will It Go?
The Highway Patrol union that negotiated the most generous pension formula a decade ago, a trendsetter for police and firefighters statewide, has tentatively agreed to reduce pensions for new hires.
The "three at 50" formula, providing 3 percent of final pay for each year served at age 50, became the best-known part of a sweeping state worker pension increase, SB 400 in 1999, often cited by critics who say public pension costs are "unsustainable."
Gov. Arnold Schwarzenegger, applauding the Highway Patrol agreement last week, said once again in a news release that rolling back the benefit increase in SB 400 is one of the demands that must be met before he signs a new state budget...
LINK - PublicCEO.com
