[quote=ctr70]Have not heard a good argument yet with what is wrong with simplifying all public employee retirement programs and just changing them all to employee funded 401k plans just like everyone in the private sector gets. Done, over, end of story.[/quote]
1. It’s illegal to roll back vested benefits for public employees in the state of California.
2. Trying to force it would result in legal battles that would last for many, many years (probably decades), and probably would end up costing even more than the benefits, themselves.
3. Unlike many jobs in the private sector, the recruitment and training expenses for many public sector jobs (especially for safety positions) are very, very high, and they require applicants with exceptionally good character and specific skill sets/characteristics because of the responsibility and liability involved with these jobs. The public employers save money by having a low turnover rate. Having defined benefit pension plans is the #1 way to lure the best applicants and KEEP them there.
