Gov. Brown’s pension reform plans
February 3, 2012
Gov. Jerry Brown has provided the language for his 12-point pension reform plan to the Legislature’s Conference Committee on Public Employee Pensions. [SacramentoBee]
Before the governor’s plan can be placed on the Nov. 6 ballot, a two-thirds majority vote of the legislature is required. If approved, Brown’s pension reform would begin on Jan. 1, 2013.
Brown’s pension reform proposals include:
Limiting the hours and wages for retirees returning to government jobs.
The forfeiture of all or part of pensions for government workers’ who commit a felony associated with their job.
No more retroactive pension benefits.
Benefits to be calculated on a 36-month average of an employees’ wages.
Requirements that all employees pay at least half the normal costs for defined benefit plans or the defined portion of a hybrid plan.
In order to receive 100 percent of the state’s retiree health benefit, an employee needs to have put in 25 years of service. Applies to new hires only.
The creation of a hybrid pension system for new hires. “It would replace 75 percent of an employee’s income after 30 years of service and a “normal” retirement age of 57 for public safety employees or, for all other workers, 35 years of service at age 67,” the Sacramento Bee said.
Sets the minimum length of service and age for safety workers at 5 years and 52 years old to qualify for retirement, 57 years old for all other groups.