Posted on 12/29/2010 7:23:20 PM PST by Libloather
UC executives threaten lawsuit over pension benefits
By Matt Krupnick
Contra Costa Times
Updated: 12/29/2010 05:50:11 PM PST
Some of the University of California's highest-paid employees have threatened to sue the UC system if it does not follow through on a promise to boost their retirement payments.
In a letter to UC regents this month, 36 employees making at least $245,000 per year said many had turned down jobs at other schools or companies based on UC's promise. The university is in the midst of a pension overhaul to make up a $20 billion deficit caused by a 20-year hiatus in contributions to the fund.
The executives want UC to honor what it says is a promise to allow them to accrue retirement benefits based on their full salaries, rather than at a federal cap set at $245,000. The current system, according to the letter, pays retired employees who made $500,000 per year the same benefits as those who made $245,000, which equates to an annual pension of $184,000. Implementing the higher pension benefit would cost the university about $5.5 million a year, in addition to a one-time cost of $51 million for making the change retroactive to 2007, the letter said.
(Excerpt) Read more at mercurynews.com ...
It’s not their money... Reason number 588392 to ban anything other than social security for public employees.
Where’s that picture of Lootie when you need him?
Hope ya got it in writing, Mr. Executive, or it don't mean jack.
BRAVO! Let the defaults begin! Perhaps California will end up covering 100% of pensions up to 30K per year and only a certain percentage over that up to a (52K?) chop point. How sweet it is.
Used to be government employees were PROHIBITED from being part of Social Security.
Fat cats about to go on a diet.
LOL! Chickens coming home to roost.
Pension famine has hit the land of CA and the carcass has been picked clean. Sorry, there is no more meat...would you like to gnaw on a bone?
Still, I've never met a college dean who couldn't be easily replaced.
Mercy! I picked the wrong career1
Oh, I’d let them put their own money into a 401K for their own retirement. Let them be terrorized that Nancy Pelosi might get her sticky fingers on their money like we are.
I know teachers who have no clue how their retirement is going to be paid, or how the money is managed, or whether the fund is adequate. Their union organizer tells them that all is well and they nod and flit off to the next diversion.
Hey democrats, tell us again who the greedy ones are.
These “rich” college millionaire profiteers! LOL!
Let Justice be done:
Close the school, sell the campus to the Northern California Bible College.
.....or better yet, sell it to the Marine Corps for an Urban Warfare Training Facility. Berkeley definitely deserves it!
Let’s see...an annual pension of $184,000?
If the prof retires at 60, and lives to age 80, that would be the equivalent of $3.6 million.
So, if that person worked for the UC system for 30 yrs, to cover that amount, they would have had to contribute about $122,000/yr (revenue neutral). Exactly how much of their OWN money did they contribute to their OWN retirement plan each yr?
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