Letters: Pension reform needed very soon
Gov. Cuomo at Molloy College talking about his 2012-2013 budget and reform plan. (Feb. 2, 2012) Credit: Newsday/Alejandra Villa
Regarding "Pension math should take in long term" [Letters, Jan. 29], I believe some of the writer's facts and comments are incorrect. The letter says, "Short-term conditions of high unemployment and low tax revenues place a strain on taxpayers." These short-term conditions are now becoming long-term. This taxpayer-supported pension is most definitely putting a strain on taxpayers.
By switching to a 401(k) program, a widely accepted savings plan for retirements, employers would not have to contribute as much, and the onus would fall on the employee. Taxpayers would not have to pony up the difference, because a guaranteed payout would no longer be in effect.
Revenue for public pension plans as currently structured comes from investment, taxpayers or both. With the stock market doing poorly, the taxpayers' contribution rate increases.
The letter neglected to mention that public pensions are exempt from state taxes, which makes this the trifecta for taxpayers: funding public employees' pensions, subsidizing the balance to guarantee their payout and then not getting back any taxes from the beneficiary.
Paul Caplan, East Northport
Islip announced it will hire a retiree as town parks commissioner, with a potential $80,000 yearly salary and a full pension ["Demoted park official moves to county job," News, Feb. 5]. The town is seeking a waiver because there is a $30,000 salary cap for people receiving public pensions.
While Gov. Andrew M. Cuomo bemoans the high cost of public pensions and plans a Tier 6 adjustment, his own offices continue to grant waiver after waiver to retired school, parks and various other state, county and local government employees, allowing them to collect full salaries on top of pensions. Why does the state grant these waivers?
According to the ones doing the hiring, there is a shortage of qualified candidates, so they have to approve this double-dipping. And I thought we had high unemployment on Long Island. Silly me.
Maybe the state should reply to the requests for waivers with the response, "If you can't find a qualified candidate, we will find one for you." In addition, for real shortage situations, why doesn't Cuomo freeze the pension and allow the salary?
Maybe if 55-year-olds knew there would be no waiver allowing them to double their salaries, they would not retire. It's a game. You retire, and I'll hire you, then when I retire, you hire me. We'll both collect pensions and salaries. And New York State blesses all these moves.
Debra Handel, Shoreham
