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Public Statements

Governor Brown Unveils Pension Reform Plan

Press Release

By:
Date:
Location: Sacramento, CA

Governor Edmund G. Brown Jr. today proposed 12 major reforms for state and local pension systems that would end system-wide abuses and reduce taxpayer costs by billions of dollars over the long term.

"It's time to fix our pension systems so that they are fair and sustainable over a long time horizon," said Governor Brown. "My plan raises the retirement age and bans abusive practices like "spiking' and "air time' while mandating that public employees pay an equal share of pension costs."

The Governor's 12-point plan addresses key issues affecting pensions in state and local governments. He initially outlined a pension reform plan during budget negotiations in March 2011.

When fully implemented, these reforms will cut roughly in half the cost to taxpayers for providing pension benefits for state employees. It will cut the risk to taxpayers for pension debt by more than half. Similar savings are expected across all systems.

"I look forward to working with the legislature to enact these major reforms," said Governor Brown.


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