This is a perfect example of what present pensions do for the economy; this should be shared by all. Short sighted legislators and tax payers would do well to think before they raid and cut pensions.
Legislators preach the “improve small businesses and create jobs” mantra. Why would any legislator destroy the economy of the communities which elects them?
The kind answer is shortsighted thinking. Somewhat closer to the truth for many legislators is the legalized corruption that allows big campaign donors and mega-wealthy organizations to demand tax incentives or face their financial ire in a forthcoming election. Hundreds of millions of dollars are handed to mega-corporations as tribute lest they hurt an election campaign.
Raiding and reducing pensions reduce the money actually flowing in local economies – from dentist bills paid to bagels purchased to haircuts given. Jobs. Jobs that legislators are well aware of but often choose to overlook in the face of political and corporate pressure.
In Illinois the state legislature will meet on January 3 to attempt a cut in pensions for all public employees, especially all present and retired teachers. The crisis is both real and created by past and present legislatures. The crisis is, however, a revenue crisis – not a pension crisis.
The Chicago Teachers Pension Fund has run the numbers for how much money and how many jobs would be lost to each legislator’s district if the draconian new pension raid is approved. Once again, the Democratic super-majority legislature along with the Democratic governor of Illinois and the Democratic mayor of Chicago are supporting this legislation which is nearly identical to legislation put forth by the Tea Party Republican governors of Wisconsin and Florida.
Look over the shocking numbers of jobs that would be lost per district. Names are listed and amounts are given. Please share this with people who dislike both shortsighted legislators and legally corrupt legislators of both political parties.
Fred Klonsky offers his unique perspective here. Fred Klonsky’s Blog