A California appellate court wrote that “while a public employee does have a ‘vested right’ to a pension, that right is only to a ‘reasonable’ pension — not an immutable entitlement to the most optimal formula of calculating the pension.

Comment: Perish the thought than an Illinois court would ever have considered such common sense.

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Andrew Szakmary
4 years ago

The reason an Illinois court will not allow cuts to pension accruals for current workers (which is what the California case involved) is that the Illinois Constitution clearly and unequivocally prohibits diminishment once employees become members of a public pension system on their first day of employment. There is no comparable provision in the California Constitution, so comparing the two states is like comparing stocks and bonds. Corporations can suspend or eliminate shareholder dividends at will, but they cannot reduce contractual interest payments on bonds outside of bankruptcy. There is nothing nefarious about this at all.

Mike
4 years ago

The pension and retirement system sentence does not mention the first day of employment.

Mark Glennon
4 years ago
Reply to  Mike

Mike- Exactly right. Prof. Szakmary is just making that up.

Adam
4 years ago
Reply to  Mark Glennon

The pensions in IL cannot and will not be paid in full in the end because there is no realistic way for them to be with cuts or taxes. Idiots like Andrew who say the income tax can be 10% along with the highest property taxes in the nation (anyone that could move would, including jobs) live in a fantasy world because they are self serving, public union hogs. Enjoy the pension collapse heading your way Andy.