Retired Illinois Teachers Sue Over Pension Overhaul

Illinois, like California, will eventually crater due to fiscal collapse, the latter being due to public sector union pension obligations. From a recent story:

CHICAGO –  A group of Illinois school administrators and retired teachers filed a class-action lawsuit Friday seeking to have the new law aimed at eliminating Illinois’ worst-in-the-nation pension shortfall thrown out, a long-anticipated move that is expected to delay implementation of the sweeping measure.

The following 3 sentences from the story are worth noting:

The plan reduces the annual cost-of-living increases for retirees and raises the retirement age for workers 45 and younger…

Lawmakers also included two components they say were intended to improve the plan’s odds of surviving a legal challenge: a 1 percent decrease in employee contributions and a funding guarantee, which allows the systems to sue the state if lawmakers don’t make the payments…

Among the other changes included in the law is a cap of about $110,000 on the annual salary on which a pension may be based.

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