Just the other day, Matt Bevin, a candidate for governor of Kentucky attacked the retirement security of public workers in Kentucky when he declared, “We have to move to a defined contribution plan, period.”
When politicians like Matt Bevin attack pensions, they usually do it under the guise of saving money, but the facts don’t lie. Moving workers into 401(k)-style accounts robs them of a secure retirement while leaving taxpayers on the hook for millions. Meanwhile, Wall Street hedge fund managers, the same kinds of folks who tried to privatize Social Security, fill their own pockets with hidden fees.
Check out what happened to Kentucky’s neighbor, West Virginia, when they moved their teachers into a defined contribution plan: