The issue of public pensions has been the subject of the day since 2002 in our County and just recently again re the City of Milwaukee.
Public employees are ensured their pensions. This is one of the reasons people take civil service jobs. They know they will be paid less but the benefits are better.
The aging “Boomers” have been leaving the work force for the past 20 years. In so doing they are replaced by younger workers who are paid less saving taxpayer dollars while contributing to the pension funds.
Due to labor contracts that assurance cannot be broken. For example, one of the problems that occurred in Milwaukee County was part of a contract from 1983. People were furious because no one in 2000 were given the generous contracts of 1983.
The City is having problems with their budget because many positions were cut in civil service just as in county, state and federal budgets. Without a large base to contribute to a pension system everything is out of whack. In other words, you need the same number of employees contributing into the pension funds as those exiting. We truly are dependent on each other and each Generation.
You wouldn’t want your employers to tell you they don’t have your pension funds. Many employers in the private sector used employee pensions for their businesses and many left employees with no pensions or very little.
Recently there was a letter to the Editor re “reform Milwaukee pensions’”. Taxpayers need to realize when you cut positions you end up paying in another way.