Too many of us in this country have come to accept our politicians buying our votes with our money. There is not a bottomless vein of cash waiting to be mined with taxes, and I hope that more people are waking up to this fact as the chickens come home to roost on this issue.
That said, I'm the happy recipient of a local government pension that was higher than I expected because my former employer screwed up and kept promoting me, and because the politicians tried to circumvent their labor problems by not increasing salaries (and raising taxes) by enticing existing employees through pension enhancements that could be had if they only stayed at work "a few more years". Golden handcuffs is the phrase I like the best to describe it.
Those politicians were term-limited out at the same time that "a few more years" in the future suddenly became today. People on both sides of the issue woke up to realize that things had to change, and many changes were made. I grabbed my pension and was out the door while I was still snugging up the straps on the parachute.
Similar situations exist all across the country, but in differing ways. These pensions, and their associated problems, are a patchwork as different politicians and labor representatives tried to copy other plans while putting their own interpretation into it. Similarities exist but not everything is the same. Some of those pensions are in serious trouble, some are a little scary but might get a pass if the economy doesn't crater again, and still others are doing okay.
The last mayor made some needed changes, and the new incoming mayor is talking the same way. Right now the issue is a new labor contract, and salaries affect pensions so I'm watching carefully. Both the mayor and the union are saying good things that make me want to believe they understand that they will have to be realistic in their negotiations.
From the mayor:
"They can read the headlines just as well as you and I can. There is less money flowing into the city coffers. And I think it would be foolish for either side to expect to go in and see a lot of new money flowing into this contract."
From the union president:
"For us to be competitive in the hiring market, we will have to stay competitive in the wage market. Because of the budget shortfall, certainly we're going to have to work smart. We may have to defer some things. That's what the negotiation process is all about."
Who knows what will go on in the private sessions. The union did back one of the mayor's opponents during the recent election, and she made a comment to the union president (that got picked up by the media) that expressed her displeasure, "
You better hope your guy wins." I don't think there will be much in the way of frivolous goodies being passed out in the next contract.
I'm like most other people receiving a pension in that my opinion is that "we made a deal" and I lived by my end of the bargain. I worked for the sucky wages they wanted to pay and wore the golden handcuffs they were passing out. Just because the peoples' elected representatives screwed up doesn't mean I should have to pay the bill. As citizens and taxpayers we are all responsible for the decisions made by our elected officials, even when those decisions aren't so smart. As a group we did vote them the power to make those decisions on our behalf. But I'm a realist and I don't want to learn what happens if the city goes bankrupt. There is a moral obligation there that I expect the city to respect while it goes about fixing the fiscal issues.
(Like the pic of the pooch you have as an avatar btw)