The House of Delegates and Maryland Senate this past week have both voted to cut pension benefits for state teachers and employees as the legislators raised contribution rates and retirement ages, ostensibly to cure a massive $18 billion underfunding of the pension system. But millions of the savings from the reduced benefits are not going to shore up the pension plans at all, but will instead funnel money into the operating budget. This prospect has drawn fire from liberal and conservative lawmakers and the teachers union, as well as strong objections from the head of the retirement system.
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This is how the pensions got "underfunded" to begin with, about 10 years ago, States stopped putting all the money they were required to, toward the pensions. They instead did other pet projects with the money that the public wouldn't have approved of raising taxes for. They figured they would catch up on the funding the following year, but they didn't. They continued to breach their contract with the employees to put the State's contribution into the pension funds. Ten years later, now the State is in huge financial trouble, they've spent money for ten years they weren't supposed to be spending, and now all of a sudden, it's the employees' faults because their pensions cost so much. The pensions would not have been underfunded and now add up to so much money if the State had done what it was supposed to all these years rather than lying to people and saying they were putting money aside. Their games caught up with them, and now the workers have to pay for it all.
ReplyDeleteIt's laughable thinking back on the photos of the unions campaigning for O'Malley and the dems, and now they're being properly _____ by the aforementioned.
ReplyDeleteCutting pensions and raising contributions, then using the money to fund welfare programs.
And these union folk get out there and vote them back in, time after time.
You'd think they would learn something eventually.
Here's a novel idea --- how about these imperial legislators SET AN EXAMPLE for the people they rule? Cut their OWN pensions and benefits BEFORE they start telling everyone else to "sacrifice"....And it illustrates just how slimy they really are.....they aren't really interested in pension benefits/costs...they want that money to SPEND on SOMETHING ELSE! What's that sound you hear?? Its the Tree of Liberty (google it if you don't have any historical knowledge) screaming in thirst....
ReplyDeleteThis reminds me of some crackhead hitting his wife up for $20 so he can 'buy gas'.
ReplyDeleteThis state voted majority democrat.
Now live with it.
Baltimore and Montgomery county. The rest of the state was red all over. Look at the election map. Baltimore is full of freeloaders and welfare babies and Montgomery County is all Washington insiders(liberal idiots) and the rest of us have to live with it.It's a shame isn't it.
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ReplyDeleteyou forgot the third of the three stooges P.G. County which is just another suburb of D C and makes up the crackhead low life part of the area
I bet their pensions aren't underfunded!!!
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