Jerry Brown, Democrats reach deal on public pension overhaul

SacBee: The State Worker ^ | 8/28/12 | Jon Ortiz

[SmithL]

Gov. Jerry Brown and state lawmakers have reached a deal that will alter pensions for hundreds of thousand of local and state workers.

Brown will announce an agreement that promises future employees less and requires many of them to pay more for it than their tenured colleagues, according to details of the plan leaking out this morning.

Brown is scheduled to talk about pension reform tat an 11:30 a.m. Los Angeles press conference. The Democratic governor made cutting public pension costs a key piece of his administrative agenda and has insisted that voters insist on reform before they'll embrace a tax hike on the November ballot that Brown is backing.

Here are the components of the agreement reached between state lawmakers and Brown, according to sources familiar with the agreement. The terms would begin to take effect Jan. 1.:

• As reported Monday, the salary of future hires that will be considered for pension purposes will be capped. The ceilings: $110,000 for employees who participate in Social Security and $130,000 for those who don't, such as fire fighters, police and teachers.

• Brown's proposal to put new hires in hybrid pension plans won't happen. Instead, the pension formulas for new hires -- both safety workers such as police and firefighters and miscellaneous employees -- will be rolled back.

• New employees will pay half of their normal pension costs. Employers would still have to bargain contribution rates for current employees.

[SmithL]

...current employees in those jobs can retire as early as 50 years old and receive maximum benefits, although that happens relatively little

Until now.

[stephenjohnbanker]

Yeah.....until now.

Sheesh

[EGPWS]

That seems so unfair to put public workers on the same playing field as private workers.

That's almost as bad as a sales tax replacing income tax!

[edcoil]

We here in California are now screwed.

[ptsal]

Comes with pre-printed ballots and only one party showing ... Moonbeam’s legacy.

[jessduntno]

“We here in California are now screwed.”

We already were...they just found a new orifice.

[DoughtyOne]

Let me guess. Unions give up 0.025%, and the public gives up 99.975%. And then the unions will remind us in perpetuity that they made huge sacrifices and need to have this wound healed at some point.

[andyk]

Take note, this is how we will “save” social security. Don’t piss off current beneficiaries - just screw the next generation.

[vette6387]

“We here in California are now screwed.”

And just how is that by reason of these changes? The fact is, that this will not resolve the issues California has with respect to employee pay, benefits and retirement. It is largely window dressing designed to try and get the RATs more running room when there isn’t anywhere left for them to run. This is just like Vallejo’s “bankruptcy,” They didn’t truly resolve their financial difficulties with their PE unions and they will be back in bankruptcy again in the not too distant future. Same goes for CA. In a perverse way, I am glad that the RATS “own” California because they are going to be in charge when the whole house of cards that is CA government collapses.

[vette6387]

“We here in California are now screwed.”

And just how is that by reason of these changes? The fact is, that this will not resolve the issues California has with respect to employee pay, benefits and retirement. It is largely window dressing designed to try and get the RATs more running room when there isn’t anywhere left for them to run. This is just like Vallejo’s “bankruptcy,” They didn’t truly resolve their financial difficulties with their PE unions and they will be back in bankruptcy again in the not too distant future. Same goes for CA. In a perverse way, I am glad that the RATS “own” California because they are going to be in charge when the whole house of cards that is CA government collapses.

[stephenjohnbanker]

Wasn’t it Medfly Brown who gave state employees the power to unionize in the late 1970’s ?

[Red Badger]

That seems so unfair to put public workers on the same playing field as private workers.

They aren't on the same playing field. California public workers are in the end zone. The public workers are on the sidelines.............

[Red Badger]

oops, that second ‘public’ was supposed to be ‘private’.......but you knew what I meant, I suppose..........

[Godzilla]

lipstick on a pig

[Red Badger]

Revelation 18:4 (NIV)

Then I heard another voice from heaven say: “Come out of her, my people, so that you will not share in her sins, so that you will not receive any of her plagues;.....

[dfwgator]

BOHICA

[morphing libertarian]

Brown is using this agreement to ask tax payers to increase taxes and vote for his proposition. He’ll say, “look! we cut pensions. Now pay more taxes.”

[morphing libertarian]

Brown signed the collective bargaining bill on the last night in office at 5 minutes prior to midnight.

[reefdiver]

It will not be near enough. Jerry just kicked the can. The truth is California can't print money and they are out of it. They can't afford to pay the current obligations let alone future ones. Retired firefighters, cops and teachers, county and state workers will be finding checks that can't be cashed, You all brought it on your selves, you knew this would not last and just like the mortgage fraud your going to wait until it collapses and then stand in the streets with signs, Well guess what your going to pay for medical just like everyone else.