Pension Reform

San Jose attorney calls pension reform unconstitutional

In a strongly-worded letter dated June 21, 2011 to Mayor Reed and the City Council, local retired San Jose city attorney Joan Gallo expressed bewilderment at why the City of San Jose would undertake an action which clearly violates the contract clause of the California and United States Constitutions.

Citing key California Supreme Court cases, Gallo writes the court has held that pension rights are an integral portion of compensation which cannot be changed once they have vested and with respect to active employees, some limited modification of vested pension rights has been allowed by the resulting disadvantage to employees must be accompanied by comparable new advantages...

LINK - Examiner.com