The unions representing Atlanta's firefighters and police officers are suing the city over pension reform measures approved two years ago.
The unions, in a suit filed in Fulton County Court, contend the changes to the pension system, which was facing $1.5 billion in future unfunded liabilities, would cost plan participants "over 50 percent more to purchase the same amount of retirement benefits to which they already were entitled."
Public pensions across the country have come under increasing pressure as new methods of calculating liabilities have widened the gap between current assets and future needs. In many places, payments to pension plans have eaten into budgets. In Atlanta's case, they consumed 20 percent of the city's budget. The reform plan was designed to save more than 500 million over 30 years.
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.
