Brown Releases Plan For Calif. Pension Changes
SACRAMENTO, Calif. (AP) -- Gov. Jerry Brown is proposing changes to California's public pension system, just days after budget talks broke down in part amid disagreements over pension reforms.
The Democratic governor on Thursday released seven specific proposals to eliminate or change practices that can drive up costs. One of those is spiking, in which workers get big raises during their final year as a way to inflate their pension benefits.
The bill also would prohibit the state or local governments from paying an employee's share of pension contributions or awarding retroactive pension credit.
The governor also is developing proposals for a cap on benefits, limits on employees returning to government work after they retire and a shift toward a hybrid plan in which employees would be responsible for part of their retirement planning.
(Copyright 2011 by The Associated Press. All Rights Reserved.)
