Pa. GOP Leaders Call for New State Retirement Plan

Thursday, 31 May 2012 12:45 PM

By Sandy Fitzgerald

Share:
  Comment  |
   Contact Us  |
  Print  
|  A   A  
  Copy Shortlink
Pennsylvania Republicans are pushing a new retirement contribution plan for future state and public school workers in hopes of easing the state’s mounting pension woes.
 
State Senate Majority Leader Dominic Pileggi said Wednesday the proposed switch to an employee 401(k) system would only take care of part of the state’s pension problems, according to the Pittsburgh Post-Gazette. But the Republican leader said it was an important part of resolving the state’s financial burdens.
 
The plan calls for state and public school employees hired Dec. 1 or later to enroll in a retirement contribution plan that resembles a traditional 401(k) and not the defined benefit pension current workers have now.
 
Mike Turzai, the Republican state House majority leader, suggested that lawmakers have little choice in the matter.

“Ultimately, we have to move to a defined contribution plan from a defined pension plan, because that’s what everybody who’s paying the taxes is doing,” he said.

Pileggi said legislators also have to address the pension costs amassed by current workers. Last year, for example, state employees earned about $37 billion more in pension benefits than the state had available to pay out, according to the Post-Gazette.

© 2014 Newsmax. All rights reserved.

Share:
  Comment  |
   Contact Us  |
  Print  
  Copy Shortlink
Around the Web
Join the Newsmax Community
Please review Community Guidelines before posting a comment.
>> Register to share your comments with the community.
>> Login if you are already a member.
blog comments powered by Disqus
 
Email:
Retype Email:
Country
Zip Code:
 
Hot Topics
Follow Newsmax
Like us
on Facebook
Follow us
on Twitter
Add us
on Google Plus
Around the Web
You May Also Like

New York Police Chokehold Death Ruled a Homicide

Friday, 01 Aug 2014 17:22 PM

A chokehold used by a police officer on a New York City man during his arrest for selling untaxed, loose cigarettes last . . .

Newsmax Panel Debates Battle Over Immigration

Friday, 01 Aug 2014 16:56 PM

Janet Johnson, an attorney in Jacksonville, Fla., and lawyer and syndicated talk show host Adam Thompson join "The Steve . . .

Bob Dole: Fixing 'Badly Bent' Congress Will Take Strong Leadership

Friday, 01 Aug 2014 16:13 PM

"The Senate isn't broken," former Republican Majority Leader and GOP presidential candidate Bob Dole believes, but "it's . . .

Most Commented

Newsmax, Moneynews, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, NewsmaxWorld, NewsmaxHealth, are trademarks of Newsmax Media, Inc.

 
NEWSMAX.COM
America's News Page
©  Newsmax Media, Inc.
All Rights Reserved