Quote:
Originally Posted by Chesapeake Bill
The preceding discussion thread about funding pensions has merit (much like the need to convert today's youth from social security to a form of 401K). However, how do we move off center? Do we pick a date, after which the new program is implemented? I say this because the existing groups have contracts that should be kept (lest the tables turn and everyone loses at any point). How to implement and maintain fairness would be a more appreciable diatribe IMHO.
Unfortunately, we have grown accustomed to the CNN "shock and awe" style of discussion.
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Easy in my opinion. You do what the private sector did. WShen those contracts come up, you modify them and say "on such-and-such a date, contributions to your pension will cease. You will be vested in any contributions already made to your pension, and therefore you have earned a portion of the future benefit. Henceforth, future contributions will be made to a 401(k), and like everyone else, you need to live on whatever you can accumulate"
Try suggesting that to a teacher or a cop (or better yet, to a union rep), and watch the reaction you get. No one will say "hey, I recognize the economic realities of today, so let's discuss this". What they'll say is that, for example, you don't care about kids getting quality education, or that you are anti-cop. There is no talking to these people, not till states file bankruptcy.
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