TOPEKA, Kan. (AP) — Gov. Sam Brownback signed legislation Wednesday to bolster the long-term health of Kansas' public pension system, but he also said he's hoping a study commission set up by the new law hashes out the details of moving the state toward a 401(k)-style plan for new teachers and government workers.
The new law will inject more taxpayer dollars into the Kansas Public Employees Retirement System to help close a projected $7.7 billion shortfall between its anticipated revenues and the benefits promised to public employees through 2033. Workers also will be forced to make concessions.
A new, 13-member commission will study other issues, including whether the state should start a 401(k)-style plan for new public employees. Such a plan would tie a worker's benefits to investment earnings; the state's traditional plans guarantee benefits up front, based on an employee's salary and service time.
Continue Reading for Free
Register and gain access to:
- Breaking benefits news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical converage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
