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Let people decide on public pensions
Public employee unions and the elected officials who cozy up to them have, for years, denied the growing crisis that is California's ponderous pension system. It's a system that may yet break taxpayers' backs, but few in Sacramento are willing to stand up to union leaders who insist that plush pensions are their due. So private citizens will have to do it for them. One of those citizens was in Bakersfield last week with the good news that voting taxpayers may soon have the chance to take public pay matters into their own hands. Keith Richman, a former 38th Districtassemblyman, R-Grenada Hills, who termed out last year, then helped form the California Foundation for Fiscal Responsibility, said the foundation's sole purpose is to tackle the skyrocketing costs of public employee retirements. During a speech before an appreciative lunchtime crowd at the Great Bakersfield Chamber of Commerce, Richman said the foundation's pension reform measure, which he hopes to see on the ballot in 2008, promises to check the spiraling costs of retiree benefits. "If we don't there may be some government entities that go bankrupt and those that don't are going to die from a thousand cuts in services," Richman said. "Because of the strength of the public employee unions as a special interest group in California, I don't have any confidence at all Sacramento will address this issue." The controversy started to swell in the late 1990s, when pension funds were making big investment gains in a booming economy. When that bubble burst early this decade, critics began to sound the alarm that lawmakers would soon be scraping to find the billions necessary to cover government workers' pension benefits. They're remarkably generous benefits that I, as the wife of a retired city police officer, am well and gratefully acquainted with. So, unlike union leaders who continue to clamor for more and better benefits while dismissing the state's pension problem as wildly overblown, I can affirm that state, county and city employees -- particularly police officers, firefighters and prison guards -- enjoy some of the most lucrative wage and retirement benefits in the country. It's time, said Richman, to "stop digging the hole deeper" and create a fair retirement benefit for new employees who complete a full career's work. That plan, as spelled out in the initiative, includes raising the retirement age for police officers and firefighters to 55; to age 60 for other public safety employees and to Social Security retirement age, 65 to 67-- for all others. That step alone will save billions, Richman said. "The 10 more years they'll be paying in gives the capital 10 more years to accumulate," he said. "The estimates for the changes we propose in the initiative are that the savings would be about $500 billion over the next 30 years -- more than enough to pay for the unfunded liability we've already accrued." City Councilman Zack Scrivner, who has been accused by some in the media and undoubtedly at local union meetings of "demonizing" the public pension problem, said the issue is no longer what public employees deserve, but what the taxpayer can afford. "What Richman is doing is looking at political reality," Scrivner said. "I am perfectly willing to accept the challenge to make any necessary changes locally, but the fix ultimately needs to happen on a statewide level. Because elected officials are not willing to take that stand, this unfortunately is a problem that will have to be solved by a vote of the people." Leave it to the people -- a good idea that's long overdue. To read the text of the CFFR's Public Employees Benefits Reform Act visit http://californiapensionref... 15 comments from 11 users
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posted by
NumberOfTheFallen
on Aug 18, 2007 at 03:28 PM
3706.
posted by
TomW
on Aug 18, 2007 at 04:54 PM
Of course the real plan is to break the system, complain the system doesn't work, then privatize it and pay more for less service. posted by
TomW
on Aug 18, 2007 at 05:02 PM
posted by
drilnliftcrude
on Aug 18, 2007 at 08:21 PM
posted by
adampayne
on Aug 18, 2007 at 08:39 PM
"Public employee unions and the elected officials who cozy up to them have, for years, denied the growing crisis that is California's ponderous pension system." The public employees are the state's civil servants. What is the crisis? The returns for this past year for the California civil servants set records for highest percentage growth for both CALSTRS and CALPERS. The people in the United States currently are the least taxed citizens in the industrialized world, which might be one reason so much infrastructure is failing, and why understaffed governmental departments at all levels cannot keep pace with this society's needs. I might add that allowing business to oversee business has become such a failure that our health and safety is under assault through inadequate regulations and checks.
As usual, your column is a miserable exercise in distortion and dishonesty espousing anti-union rhetoric at the expense of all public employees. Does Roger Ailes just mail you stuff to type? posted by
theColorNine
on Aug 18, 2007 at 09:41 PM
I had posted this on another thread, but it seems more appropriate here: I am curious about a couple of things: - If retirement benefits were to become legislated, that would remove a bargaining chip that both sides currently have available to use. Mighten't that hurt the municipality/government entity more than it would the employee unions, because then the primary negotiating item becomes wages? Most public employees are already paid less than their private sector counterparts, so I would expect when it comes time to renew contracts, they would want to bring their wages closer to those in the private sector, or at least those in other counties. It's been documented that Kern pays a lot less than counties with similar demographics. - If, as a result of not being able to negotiate future benefits (pensions) current benefits (wages) are increased -- they'd almost have to be to entice workers to come to Kern, not to mention stay at their jobs -- then would more be paid out in retirement later? I think it should be remembered that a lot of public sector employees made wage concessions in the '90s when times were tighter in exchange for the future retirement benefits. The employees aren't to be blamed for any possible financial problems that loom. Where was the fiscal responsibility of those at the city/county/state level who should have been making retirement benefit contributions, but didn't keep up with them thinking that the booming technology sector stocks would carry them through?
posted by
tkozy
on Aug 18, 2007 at 10:20 PM
posted by
TomW
on Aug 18, 2007 at 11:20 PM
posted by
My2Cents
on Aug 20, 2007 at 11:05 PM
Maybe we need to start first with the retirement packages for the Legislatures. They could become real leaders and set the example for all those public employees by first raising their own retirementt age and cutting their own retirement benefits. posted by
NumberOfTheFallen
on Aug 22, 2007 at 07:39 AM
3721.
posted by
NumberOfTheFallen
on Aug 24, 2007 at 12:08 PM
3725
posted by
Lingtaowoo
on Aug 24, 2007 at 01:06 PM
How about the head of the water district that 'retired'-got his pension WITH the perks..THEN was hired back on 'temp' and collecting ANOTHER paycheck...yup..welcome to Bakersfield-ONLY in Bakersfield
posted by
jokerhill
on Aug 25, 2007 at 09:39 PM
Wow, what a misunderstanding of the pension plan the writer has. The pension is the way the government gets by paying a below market wage. The county of Kern for those who don't know are already recruiting workers from other country's to fill jobs that are being paid at a wage unsuitable for American workers. If you don't believe me look at what is going on at KMC and the nurses. There has been a lot of talk about a shortage of nurses, but that is not the truth, there is only a shortage of nurses willing to work for below the markets pay scale. There's a shortage of nurses like there's a shortage of low-paid farmworkers or maintenance staff or child care providers or personal assistive personnel. With any job, if there's a "shortage" it's usually because there aren't enough incentives for local people to CHOOSE that work or to train in that field... often because of low pay that can be compounded by harsh working conditions. Increased pay alone only goes so far as we see in nursing. If there's a shortage that requires the importation of staff, that should only be a temporary measure just until we can train up enough people locally. However, if the work still doesn't have enough incentives, the so-called shortage will continue. How to stop the cycle? Make the work more appealing through higher wages and better work conditions. But that costs money - which will impact us all in higher costs for services and good. There aren't easy answers, but to lower one area of the benefit package and not expect you have to raise the other area to maintain your staff is irresponsible. So if your government is unwilling to pay the going wage for qualified workers and is importing form other country's to fill their positions that that can't fill locally, at that pay scale, what do you think the private industry should do? I know we have jobs in the farm labor field that need to be done, and we are only willing to pay a low wage for as the farmers just wont pay the money to get us out in the field, so we import workers legally and illegally. So the county of Kern is paying the lowest wage and no one from here is willing to work at that wage then they themselves are hiring outside labor, is that what you want form your government? Everyone says buy American, support America, but then they want our government to be run by foreign workers, I don't think so. W e can't import workers for all the jobs, as WE AMERICANS NEED SOME JOBS, AND I SAY LETS AT LEAST KEEP THE GOVERNMENT ONES. And that means paying for it one way or another, as higher hourly wages and benefits now or over the years in a pension. Either way you have to pay there are no free rides or free labor.
posted by
capt7a
on Sep 1, 2007 at 08:08 PM
I just hope that when Mrs. Shrider speaks poorly of public employee pensions, she doesn't talk with her mouth full. After all as she admits, her husband is a retired police officer living on his retirement check. This is analogous to a person moving to the mountains, building a beautiful log house, fully equipped with knotty pine finishings, then lobbying to shut down logging and saw mills. Where were the newspaper headlines showing that the Pers rates have dropped for employers for the past couple years? There wasn't this big hullabaloo at the end of the 80's regarding pensions even though the City was paying MORE for pensions then than they are now. I just think that in certain politcal circles they view public employees as people who can't get a real job, and equivalent to people on public assistance. posted by
queetstatoosh
on Sep 1, 2007 at 08:27 PM
CA public penions = CALPERS --- one of the biggest market forces from public sector there is......... and its run pretty well actually................ forget grey davis and how he made the "baby sitters with TV's" people get defined benefit programs as opposed to what most people have which is defined CONTRIBUTION plans..........
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