New Jersey Governor Chris Christie. Photo: AP

Oct. 7 (Bloomberg) — Switching future New Jersey public workers to a 401(k)-type retirement plan, a move Governor Chris Christie is considering, would worsen the pension system’s unfunded liability, according to advocates for the poor.

Closing the existing defined-benefit plan to new enrollees would involve $42 billion in transition costs, according to a report by New Jersey Policy Perspective. Later hires, who would make their own investment decisions rather than leave them to professional managers, would risk retiring with less money, the Trenton-based group said today.

Complete your profile to continue reading and get FREE access to, part of your ALM digital membership.

Your access to unlimited content isn’t changing.
Once you are an ALM digital member, you’ll receive:

  • Critical information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
  • Exclusive discounts on ALM, BenefitsPRO magazine and events.
  • Access to other award-winning ALM websites including and

Already have an account?


Join BenefitsPRO

Don’t miss crucial news and insights you need to navigate the shifting employee benefits industry. Join now!

  • Unlimited access to - your roadmap to thriving in a disrupted environment
  • Access to other award-winning ALM websites including and
  • Exclusive discounts on and ALM events.

Already have an account? Sign In Now
Join BenefitsPRO

Copyright © 2023 ALM Global, LLC. All Rights Reserved.