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Chicago Fund: Plan on having your pension cut for New Year's

                                                             
                                 
               
         
{ Submitted by Adam.S on Mon, 2014-11-24 15:56 }

Despite a stunning court victory by unions and retiree groups against the State of Illinois, Chicago retirees are being advised to "Plan on having your pension cut New Year's day." This holiday advice was given by the Municipal Employees Annuity and Benefit Fund in response to a call by the North Side Greens.

State "pension reform" was built on the same legal and constitutional foundations as the City of Chicago's reforms, but so far the City refuses to budge. Mayor Emmanuel is seeking deals with unions to permit pension cutbacks to go forward. Unions have no authority, under Illinois law, to bargain on behalf of retirees.

Even though unions have no authority to bargain on behalf of retirees, government can choose, if they wish, to negotiate agreements with compliant unions, bypassing retirees. In this case the leadership of SEIU Local 73 has been giving mixed signals. This may be the result of deep divisions within Local 73's governing circles.