5,115 retired California government workers receive pensions in excess of $100,000 from CalPERS.
There is a proposition in the making to stop the insanity – but I’m afraid it’s too late.
Proposed reforms include increasing the retirement age of 50 for public safety workers to 58. It would bump the eligibility for other employees to at least age 65, a figure consistent with the federal Social Security retirement age.
As an additional financial savings, Richman said, the increase in the retirement age would reduce local costs for retiree health care costs as retirees would qualify for federal Medicare at age 65.
The foundation also seeks an end to policies that allow employees to spike their pension benefits, sometimes to figures higher than what they earned while they worked.
“Throughout California, public agencies are paying 15 to 20 percent of their budgets on retirement costs and that’s only going to go up,” Richman said. “It’s unsustainable. Government entities will either go bankrupt, like the city of Vallejo, or they are going to die from 1,000 cuts in services.”