Welcome to the latest edition of This Week in Pensions! As we do most weeks, we have gathered the best stories about pensions and retirement security from the previous week. This is the news you need to know in the fight for a secure retirement.
Here are this week’s top stories:
- Public Pension Advocacy Group Accuses Pew and Donor of Bias by Madison Alder: Bloomberg covered the release of our latest animated whiteboard video about the Pew Research Center and their connection to John Arnold. Andrew Collier, NPPC’s Communications Director, said, “We created this video because taxpayers and lawmakers deserve to have all of the facts. Pew has promoted failed plans for years, including cash-balance and hybrid plans that don’t provide real retirement security.”
- Kansas needs a strong KPERS system by Michael Scribner: the chairman of the Keeping the Kansas Promise coalition writes to the editorial board of the Topeka Capital-Journal to correct the record. Kansas made a major change to its pension system when it moved to a cash balance plan in 2012. The causes of recent underfunding have been the failed tax plan pushed by former Governor Brownback and the state deliberately underfunding KPERS due to the resulting budget shortfall.
- IPERS impacts all Iowans. Here’s how by Maggie Martin: a retired correctional officer writes to the Des Moines Register to explain how public pensions sustain local economies throughout Iowa. When retirees spend money at local businesses, that supports jobs and produces tax revenue that benefits their communities. Changing IPERS would harm these local economies.
- Wisconsin’s Pension System Works for Everyone by Justin Fox: a columnist for Bloomberg explains how the unique structure of the Wisconsin Retirement System provides a secure retirement to working people while also keeping the plan fully funded.
- Trump administration sees retirement proposals as a ‘downpayment’ for the future, not punishment by Nicole Ogrysko: the Trump administration is still considering significant changes to retirement plans for federal employees, including moving future employees into 401(k)-style defined contribution plans. As we’ve discussed before, federal employees already participate in the so-called “three-legged stool” of retirement: a defined benefit pension; a defined contribution plan; and Social Security. Eliminating the defined benefit component would weaken retirement security for federal employees.
Be sure to check back next week for the latest news in the fight for a secure retirement!