‘Protecting and enhancing members’ pensions and benefits has been Job No. 1 for NJEA since 1896,” New Jersey Education Association President Joyce Powell said in 2006. And the NJEA has lived up to those words.
New Jersey has a severe pension crisis: Its unfunded pension liabilities are $95 billion. The state’s retiree health-care obligations add another $65 billion, for a total of $160 billion in unfunded liabilities (and this does not include another $40 billion for local government pensions). The entire state budget is $35 billion. New Jersey simply doesn’t have the money to pay for these pensions.
How did New Jersey get into this situation? The pension crisis is a direct consequence of NJEA’s enormous political power.
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YEP!! Maryland has also handed down the pension liability onto each local County - just like New Jersey did. Maryland's corridor method was deemed 'Unsustainable' by the Maryland Legislative appointed special commission.
ReplyDeleteYet - just like NJ - Maryland keeps ignoring the impending crisis - and so soon the grim reaper will unveil onto the taxpayers backs - just like in NJ.
Fact is - Maryland and NJ are mirror images of each other and both States failed to ignore the warning, even 10 years ago.
Promising a pension and then failing to fund it is criminal fraud.
ReplyDeletePlain and simple.
Don't promise what you cannot deliver.
Those teachers took a job based on certain promises.
They were defrauded.