Tag: public pension costs
Many state and local pension plans have lowered their long-term investment return assumptions in the wake of the financial crisis. Such a change is generally viewed as a positive development for pension funding discipline, bringing assumptions more in line with market expectations and forcing plan sponsors to increase annual required contributions. A study recently released…
The brief’s key findings are: Financially troubled state and local pensions may need to cut benefits for current workers, but such cuts could also induce some workers to leave. To assess this human resource impact, the analysis looks at a 2005 reform in Rhode Island that reduced benefits for some current workers. The results show…
