The pension mess in San Luis Obispo has been building for years, ever since Measure Y was proposed as a reliable source of funding for the pensions under the guise of providing “extras.” Just about every city, county and special district in California is in the same mess. We are making millionaires out of government workers, at the taxpayers’ expense.
To generate $60,000 a year in a pension would require a savings of $3 million at current interest rates of around 2 percent, and most city and other government employees retire at far more than that. Any wonder we are in trouble? How many locals have that kind of savings for their retirement? And get built-in cost of living raises, too?
Pensions, salaries and benefits must be on par with local private sector jobs, not other cities. This is a good first step to resolving our financial crisis, and pay cuts should start at the top to set an example. But don’t hold your breath!
Leslie Halls, San Luis Obispo