April 2014

Our schools are dealing with a lot more new teachers than they had in the past, and defined benefit pension systems aren’t set up to deal with this type of mobile workforce. What's causing the rise in mobility?
The Urban Institute issued a report evaluating the impact of the hybrid plan for Rhode Island’s teachers. According to the study, 80 percent of teachers will benefit from the new system.
To better understand the issues around California’s pension plans, I spoke with Dave Low, the Chairman of Californians for Retirement Security.
Unfortunately for teachers entering the classroom as a second career, most state pension plans are designed primarily to support the retirement of teachers with much longer time to serve -- leaving second-career teachers with relatively slim benefits.
The gap between the promises states have made for public employees’ retirement benefits and the money they have set aside to pay these bills was at least $1.4 trillion in fiscal year 2016, according to Pew's comprehensive analysis on pension and retiree health care funding.