BrownBag Panel on the Tier II Pension
More than 100 people — most of them current employees — heard the bad news about Tier II SURS pensions, the retirement system for employees hired after Jan. 1, 2011, at a brownbag presentation on Feb. 27 sponsored by UIC SUAA. They also learned that their options to improve Tier II are limited, although SUAA is considering a future legal challenge.
Larry Curtis, employer services manager for the State Universities Retirement System (SURS), explained the disadvantages of the Tier II pension system, which applies to employees hired after Jan. 1, 2011, as compared to the Tier I system, for employees hired before that date. His presentation may be viewed here.
Sarah Wetmore, vice president and research director at the Civic Federation, gave a brief history of the state’s unmet promises to pay into pension funds that have led to nearly $140 billion in unfunded liability. She outlined Gov. J. B. Pritzker’s recent proposals to reduce the state’s pension debt, including a graduated income tax, state bonds, more buyout plans, and extending the payment schedule. Her presentation may be viewed here.