Close Close
Popular Financial Topics Discover relevant content from across the suite of ALM legal publications From the Industry More content from ThinkAdvisor and select sponsors Investment Advisor Issue Gallery Read digital editions of Investment Advisor Magazine Tax Facts Get clear, current, and reliable answers to pressing tax questions
Luminaries Awards

Life Health > Running Your Business

Gov. Jerry Brown to Unveil 12-Point Pension Overhaul (Los Angeles Times)

Your article was successfully shared with the contacts you provided.

Back in March, California Gov. Jerry Brown released an outline of proposed changes to the state’s overburdened pension plan, proposing benefits for new state workers that blended elements of a traditional pension plan with 401(k)-style benefits. On Thursday, he unveiled the plan more fully, recommending a significant leap in the age full benefits become available (from 55 to 67), asking legislators to put an end to “spiking” (giving employees career-end raises to increase the value of their pensions), and prohibiting retroactive pension increases and “air time,” or allowing employees to buy credits for years they have not worked. 

While some points of the proposal will require voter approval, the state legislature will likely rule on certain elements before the November 2012 ballot.