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Two future obligations are important, the social security and medicare provisions but one is worse Many public employee pensions are in trouble is the idea of
by Shivetya 9y ago
Two future obligations are important, the social security and medicare provisions but one is worse
Many public employee pensions are in trouble is the idea of pension spiking and double dipping. pension spiking comes about by saving up sick and vacation time and cashing it out at retirement or taking on extra shifts. double dipping occurs where they retire from one qualified job and get into another though this has mostly been seen on the political side. You can end up for 100k retirees which is absurd on any level.
the trouble facing reform is there no set outcome in courts. some courts have allowed government to reign in costs and others have forced it back on the taxpayers to make up. California law has been towards and reduction is one category has to be made up in another. Illinois just keeps digging the hole as their State Supreme court has basically stomped on all attempts to fix.
The unions representing many government employees are very strong and politically active and if they cannot stop changes in court political intimidation will be the rule. the will simply work to unseat anyone who doesn't play ball. even the threat of reform by changes in party who runs the state brings out tens of millions of dollars and all sorts of shenanigans (look at Minnesota)