Copy of Pension-cutting bill still looms
Senate Bill 16, which would cut the pension benefits of employees in SERS and SURS, failed on the Senate floor on February 28 by a vote of 26-27-2 and was put on postponed consideration. It is likely to be considered again.
SB 16 is a new version of the previous SB 11. It would require employees who participate in the State Employees Retirement System and State University Retirement System to select between two options:
- Option 1: All pay increases going forward do not count in calculating your pension benefit. For purposes of determining your pension, your salary would never be any greater than it is today; however, your pension in retirement would be adjusted to keep up with inflation (COLA).
- Option 2: Your future pay increases would count in calculating your pension benefit; however, your COLA would be cut so your pension would not keep up with inflation in your retirement years.
Regardless of the option employees choose, they would receive a much smaller pension benefit during the course of their retirement compared to benefit they were promised.
TAKE ACTION: CALL YOUR SENATOR!
Call the AFSCME hotline at 888-912-5959 and urge your senator to protect public employee pensions!
