TEXT_SIZE

Brown delivers on pension reform

Courtesy of the Sacramento Bee
11/9/2011

 

Gov. Jerry Brown has delivered on his campaign promise to tackle pension reform. The plan he put forward is bold and comprehensive. It is also politically risky.

Public employee unions, longtime allies of the governor, will strongly oppose key portions of it, as will many of Brown’s fellow Democrats in the Legislature. Even Republicans may balk when it comes to rollbacks for police officers and firefighters, the most politically powerful public employees who enjoy the most robust pensions.

Despite the risk, Brown must not relent. The chronic funding crisis that state and local governments face cannot be resolved without reducing pension obligations.

Government retirement benefits are too rich, particularly for public safety workers who typically retire in their early 50s with 90 percent of pay or more. Unions that persist in denying that reality seem hell-bent on inviting a ballot initiative that could be far more onerous to their members than what Brown has proposed. Brown needs to remind them of that. But he also needs to provide the public with a full financial analysis of his plan, so taxpayers can better understand the stakes involved if lawmakers stick with the status quo.

The majority of Brown’s reforms apply to new hires, not current workers. Even widely popular anti-spiking provisions in Brown’s plan won’t cover existing workers. Obviously, the governor has decided not to take on a risky legal battle over vested rights that would ensue if he attempted to roll back benefits or change the rules for current workers. That’s probably a smart move. Local government leaders in cities where pension-fueled fiscal crises are even more acute will likely initiate that necessary fight.

The most important reform in Brown’s proposal that would affect all workers would require government employers and their employees to share pension costs equally. With the exception of prison guards, California Highway Patrol officers and firefighters, most state employees pay an equal share now. In fact, under recently negotiated contract concessions, some workers pay even more than half. But many local governments still pay the entire employee’s share of pension costs for some workers. A 50-50 split in contributions not only would provide fiscal relief for government employers, but would give workers a stake in reducing costs.

Taxpayers and union workers both have a stake in fair pension reform. Brown has provided a good blueprint to make that happen.

 

Editorial reprinted from the Sacramento Bee

Add comment

Feather Publishing encourages civil discussion on news stories that are important to our community. We do ask that commenters follow certain rules of conduct. Keep your comments on the topic at hand. Threats, insults, lies, and inappropriate language are prohibited. Just as with our letters to the editor we want you to be accountable for your comments so we ask that you use your full real name. We reserve the right to delete any comments that do not comply with these rules of conduct. Commenters who repeatedly do not comply will be prohibited from posting further comments.
Comments are limited to 300 characters. If you would like to post a longer message, please submit a letter to the editor. Submit a letter to the editor. Letters to the editor are limited to a maximum of 300 words. Deadline for submittal is noon on Thursdays.


Facebook Image
Local Events

Contact Us

up_contact

Plumas Flood on DVD

Click to Learn more

Dining Guide
 
Plumas County
"); pageTracker._trackPageview(); } catch(err) {}