Welcome to the latest edition of This Week in Pensions! 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 our top stories:
Public Pensions Weathered “The Great Recession” and Took Action to Ensure Long-Term Sustainability by Dan Doonan. In his op-ed for Forbes, Dan Doonan, executive director of the National Institute of Retirement Security (NIRS), discusses NIRS’ new report entitled “Examining the Experiences of Public Pension Plans Since the Great Recession.” According to the report, public pensions have successfully recovered from the financial market crash due to the Great Recession–which dates from December 2007 to June 2009. The report found that most public pensions plan recovered their pre-recession asset levels by 2013 and continued to pay “trillions of dollars” in benefits. “This is a notable achievement and attests to the strength and longevity of these plans,” said Doonan. For other key findings, check out NPPC’s summary of the report.
Gov. Beshear’s plan for investment in Kentucky education includes pay raises, pensions by WLKY. On Thursday, Kentucky Governor Andy Beshear revealed that he has significant plans for Kentucky Classrooms, including pay raises, pensions, and student loan forgiveness. If approved by lawmakers, his proposal would provide a 5% pay raise for school staff, in addition to loan forgiveness and the restoration of teacher pensions. Earlier this year, a National Institute on Retirement Security report found that 59% of teachers struggle with student loan debt since they don’t make as much money as their private sector counterparts. The report also found that 86% of participants believe that a “more generous” pension would help recruit and retain teachers, and 92% say better pay would also be a great solution. Governor Beshear said that if approved, “this is going to give us the ability to not just compensate teachers for what they are worth, because they are worth a whole lot more than we pay them, but to make those jobs more competitive for those who are looking.”
Be sure to check back next Friday for the latest news in the fight for a secure retirement!