The ongoing effort to reform the New York State pension plan brought more than 15,000 members from PEF, NYSUT, AFT, UFT, IAF and dozens of other unions to Albany on March 8 for a show of solidarity.
Labor leaders and the members they represent called on State legislators and Governor Kathy Hochul to change the pension system. An estimated 780,000 state employees fall under Tier 6 of the pension. For them, and their co-workers who may fall under Tiers 3 or 4, parity is important.
I am a parole officer. I know many parole officers who are currently Tier 6,” said PEF President Wayne Spence, who told the crowd he is Tier 4. “They are doing the same job I do, they face the same challenges as those who are Tier 4 and they are not getting the same support for their pension. It’s not right.”
Tier 6 members currently pay 3 to 6 percent of their salaries into the pension system for the length of their career. Contributions grow as salaries increase. Tier 5 caps payments at 3 percent, but members must still contribute for their entire career. Members in Tier 4 contribute 3 percent of their salaries, but only for the first 10 years of their service. Additionally, Tier 6 members must work until age 63 to collect a full pension — for Tier 5 that age is 62. In Tier 4, members can collect their full pension at age 55 after working for the state for 30 years.
Union leaders including President Spence, NYSUT President Melinda Person, AFT President Randi Weingarten, NYS AFL-CIO President Mario Cilento, and others who took the stage on Sunday echoed the sentiment that enough is enough and called for a lowered pension contribution, elimination of retirement penalties, and a return to calculating pensions with 2% of salary after 20 years of service.
Reforming Tier 6 requires an act of legislation. President Spence was clear in his remarks that in this fight the power rests with unionized employees.
“Folks, we have more power than they realize, and they don’t want us to know,” said President Spence. “So don’t give up the fight!”
Previous union advocacy has resulted in incremental improvements to Tier 6. In her closing remarks at the rally, Governor Hochul championed those reforms and made a commitment to more in the future.
“You told us you were struggling to recruit nurses and teachers and other hardworking individuals, and we listened. And after years of neglect, we said we have to lead the charge and make some changes,” said Hochul.“So now, instead of taking the average of five years, we’re taking the average of your three consecutive years. We’re taking a shorter vesting period from 10 years down to five. And also, I’m fighting for a fairer pension plan because it’s essential that we continue recruiting people.”
