Inflation and retirement

tom1944
Mon, 24 Oct 2011 20:36:21 +0000

Nobody- they were ended for everyone but can be reinstated once a plan is either 70-80% funded. In effect that only impacts two plans- the teachers and the state workers. Those two plans were to be funded by the State. The other plans were all funded by local governments. Since the locals received State aid instead of the State making the pension contribution that is one factor in the law suit. Teachers, State workers and local workers all participated in the same plan with the same terms and now only the local workers will get the COLA. Part of the lawsuit is asking that if the law is allowed for the COLA change all pension plans should be equally funded at the start. In effect make up 17 years of non-funding to the teacher and State worker plan. The State could have made their required contribution if they did not give municipal aid. Without that aid the towns would have to make other choices if they were going to fund their pensions. Teachers and State workers should not face disparate treatment when they followed the same terms.