10 former SD city employees will split $61 million

[1billsfan]

in pension money, seriously...

 

http://www.californiapensionreform.com/2010/10/10-former-san-diego-city-employees-will-split-61-million-dollars-in-pensions/

 

 

...and they elect Jerry Brown as the man to fix California???? Fat chance getting the new congress to sign off on any sort of bail out for that clusterfck. This is going to be a real interesting year coming up. Unemployment, illegals draining the system and continually driving blue collar wages lower, unions stomping their feet and throwing tantrums.

[KD in CA]

Go Unions!!

[Nanker]

That breaks out to an average of $6.1 million per retired honest-overworked-underpaid government employee who retired after let's say 30 years of service at age 60.

Actuarially speaking their probable mortality table would put them at living till age 83.6 years for the men and 86.5 years for the women.

Now I ask you how do you expect a person to live for 23.6 to 26.5 years on just $6.1 million dollars? That's less than $300k a year. It's California fer cripes sake. They'll be eligible for food stamps before they hit 70.

[3rdnlng]

in pension money, seriously...

 

http://www.californiapensionreform.com/2010/10/10-former-san-diego-city-employees-will-split-61-million-dollars-in-pensions/

 

 

...and they elect Jerry Brown as the man to fix California???? Fat chance getting the new congress to sign off on any sort of bail out for that clusterfck. This is going to be a real interesting year coming up. Unemployment, illegals draining the system and continually driving blue collar wages lower, unions stomping their feet and throwing tantrums.

 

 

Illinois has them beat by a mile.

 

http://theneweditor.com/index.php?/archives/11438-You-Thought-California-State-Pensions-Were-Out-Of-Control-Wait-Until-You-See-This-Top-100-List-of-School-Administration-Pensions-From-Illinois....html

[1billsfan]

Illinois has them beat by a mile.

 

http://theneweditor.com/index.php?/archives/11438-You-Thought-California-State-Pensions-Were-Out-Of-Control-Wait-Until-You-See-This-Top-100-List-of-School-Administration-Pensions-From-Illinois....html

 

 

Holy ****! Not only the pensions, but what about those administration salaries???? Those are freaking sick. These are publicly funded jobs, right? Do the people of Illinois know how much they're being robbed?

[3rdnlng]

Holy ****! Not only the pensions, but what about those administration salaries???? Those are freaking sick. These are publicly funded jobs, right? Do the people of Illinois know how much they're being robbed?

 

 

I would hope that they know. The one guy, whose pension is worth in today's money 26 million will be getting 1.3 million a year at the time of projected death. The people of Illinois have certainly been schooled.

[1billsfan]

I would hope that they know. The one guy, whose pension is worth in today's money 26 million will be getting 1.3 million a year at the time of projected death. The people of Illinois have certainly been schooled.

 

 

http://endoftheamericandream.com/archives/illinois-bankrupt

 

 

"But it just isn't the ongoing expenses that are causing a massive financial headache for the state government of Illinois.  The state's massively underfunded pension system has become a financial black hole which seemingly has no solution.  The state has just kept borrowing billions upon billions of dollars to make scheduled payments, but that just keeps making the state's financial situation even worse."

 

"Their pension is the most underfunded in the nation," Karen S. Krop, a senior director at Fitch Ratings told the New York Times recently. "They have not made significant cuts or raised revenues. There’s no state out there like this. They can’t grow their way out of this."

 

"Actually, it seems like almost every place where a liberal political machine has been entrenched for decades (Illinois, California, Detroit, etc. etc.), the local governments are now facing financial nightmares of unprecedented magnitude."

 

 

This is what happens when you have decades worth of corrupt politicians making financial agreements for votes, knowing full well that they would be long gone before the s**t hit the fan. Well the s**t is hitting the fan. There's no way these pensions end up getting paid. There's no way that these obscene public salaries do not get slashed with a machete. This is crazy. The party is over.

[SDS]

about 5 years ago when Baltimore City schools were $45M in debt and unable to find a nickel anywhere, it was discovered that the driver for the Superintendent was making $100k/yr...

 

Nope, no blood in that stone.

[Nanker]

To me, the issue is one of continuing to support Defined Benefit Plans for public employees.

The private sector has largely either stopped those with grandfathering and/or switched to Defined Contribution Plans.

The difference is that the former guarantees the annuitant that a certain amount of money will be payed to them throughout their lifetime.

The latter only guarantees that the contributions to the plan will be funded. The payout is determined on the return on the investments that the plan holds.

 

One reason for public sector having DBPs was to balance out the "inequality" of compensation for public employees, compared to similarly skilled individuals in the public sector. Generally speaking, one could earn more in the private sector than you could in the public sector. So, having the benefits of better job security, health care insurance and pension plan were enticements to work there. The inequality of salaried compensation between the two sectors however, does not hold true today.

 

Defined Benefit Plans are far too costly for taxpayers - because they're the ones that are guaranteeing the payouts. The investments in the plan aren't - hell, the only investments in many of them are municipal bonds. But largely, they're unfunded - meaning taxpayers are on the hook for the payouts and will be taxed by their governments accordingly.

 

Vested Public Employees at the state level include anyone that works for the city, town, county, state, Judges, Firemen, Police, administrators, elected officials and their staffs, teachers and employees of school districts. The Federal Government is a behemoth of an employer and their multitude of Federal Agency employees for the most part are covered by such plans too. Yes, including our elected officials and their staffs. The bill coming due for the next several decades is being sent to a mailbox and paycheck that will be repeatedly and incessantly delivered to you.

 

This is unsustainable madness that has to stop.

[KD in CA]

Where are all our liberal stalwarts on this issue? I mean, now that these people are all rich, aren't they evil because they aren't paying their fair share?

[IDBillzFan]

Where are all our liberal stalwarts on this issue? I mean, now that these people are all rich, aren't they evil because they aren't paying their fair share?

Hats off to these new millionaires though. It's hard to become a millionaire these days. Youknow what they say, "The first $200,000 (for a single) is the hardest."

[Tux of Borg]

How many of these pension systems are broke because the state used it as their personally piggy bank?

[Alaska Darin]

How many of these pension systems are broke because the state used it as their personally piggy bank?

While that's probably a factor, it's not the largest. The pension "systsms" as they've been designed are destined to fail. That's why private industry got out of that business so quickly.

 

I think it's a pretty easy fix for the future and they could even keep them but they'd have to downsize the benefit significantly and add hard caps. The issue for most states is they don't want to piss off those special interests because they are guaranteed votes.

[ExiledInIllinois]

about 5 years ago when Baltimore City schools were $45M in debt and unable to find a nickel anywhere, it was discovered that the driver for the Superintendent was making $100k/yr...

 

Nope, no blood in that stone.

 

At least the driver does something productive by driving a vehicle... Maybe even get himself creamed driving around the douchebag administrator.

 

What is it? A generational think? My wife is the administrative librarian for the whole library district (about 60 people) and she makes just over half that of the driver... The village manager does half the amount of work and makes almost 3 times the amount. The library district was dying on the vine 7 short years ago... Now it is flourishing... The resentment is high among the old guard in other districts/municpalites.

 

Sure our family could be doing "better"... Taking a job in some other well off district making many times more. But, isn't that what civil service is about? Being good stewards for your community/state/nation. Those numbers in IL are outrageous, they are not being good stewards... I have no problems with them dropping them off faster than you can say "US Steel retiree."

 

Think how many more grunts they can hire even if they cut their salary down to a THIRD. People who can make a difference and have a committment to community service.

 

I think it is the "It's a Wonderful Life syndrome" when Mr. Pott's goes to George Bailey and asks how much he takes home a week... Hey says: "40 dollars." Then Pott's offers him $20,000 a year. That is what is happening to our society... People are selling everybody (as would George Bailey if he took the Potts' offer) in their community out. It takes a guy like "George Bailey" 10 seconds to figure out what is right and what is wrong. Most people have lost all conception of what is right and wrong.

 

"...Now I don't mind choppin' wood,

and I don't care if the money's no good.

Ya take what ya need and ya leave the rest,

But they should never have taken the very best..."

It all starts at the top folks.

Edited December 15, 2010 by ExiledInIllinois