Question: What, if anything, can Phoenix do next to stop pension spiking?
I believe pension reform is necessary, however, we must do so without placing our employees at risk and making our City less attractive for employment.
The City cannot arbitrarily make changes to employee retirement plans. Change to retirement plans can occur from 1) the vote of the people or 2) through re-negotiations of current memorandums of understanding.
In the upcoming election, Prop 103 addresses many of the pension spiking concerns by proposing to limit compensation used to calculate pensions for – new employees – and eliminate credit for unused sick time. Additionally, we have an opportunity to reduce pension costs through a collaborative legislative measure drafted by Fire Fighters.
Our employees deserve real reform that is fair and ensures their long term stability.