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WHO WILL PAY THE COST OF GOVERNMENT EMPLOYER RETIREE HEALTH BENEFITS?

Who will pay the cost of government employer retiree health benefits? The short answer to that question is that the union worker will pay the cost in the form of decreased benefits, higher contributions, and/ or fewer union jobs - unless they act now. This unequivocal statement may seem a bit extreme, however, thirty years of experience as a benefits attorney tells me that it is true. As explained below, my reasons for making such an extreme statement are sound and the cost of ignoring the impending crisis will be enormous.

BACKGROUND

Why the crisis? The impact of GASB 43 and 45.

The impetus for the focus on retiree heath benefits is GASB 43 and 45. GASB stands for Government Accounting ...

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