Letters: Public and private pensions
2008 -- Stock photo of an old-fashioned gold watch resting on a Benjamin Franklin, $100, one hundred dollar bill. Photo credit: istock Credit: ISTOCK/
Many public employees retire in their 40s and 50s after 20 years of service to begin receiving a pension ["Crooks, pensions and angst," Quick Hit, Editorial, Jan. 8]. Some even go on to second public jobs to eventually collect two public pensions. These pensions are exempt from state income tax.
Private retirement accounts are mostly self-funded over 30 to 40 years of work. Most accounts will amount to less than their public counterparts. Private account withdrawals cannot be made without penalty until after a certain age and are subject to taxation.
The public pension should mirror a retirement account. It is absurd that able-bodied workers are receiving pension checks in their 40s and 50s. These workers should start receiving payments that are taxable at age 60. Before that age, they can continue to work like the rest of us.
Frank Gerardi, Manhasset
When contracts with public employees expire, their unions are in a position of great power ["Cut public pensions, poll says," News, Jan. 3]. Elected officials with whom they must negotiate dread union opposition at election time, and too often go to great lengths to win union support. This is a gross conflict of interest, and the generosity in resulting contracts has repeatedly bound the hands of subsequent administrations.
One solution would be to require that all major labor contracts with public employees be subject to voter approval. Another approach would take the negotiation and approval function away from elected officials. It could be given to a board of appointees from both parties, with a statutory directive that pay and benefits be kept commensurate with those in the private sector.
All that is needed is carefully crafted legislation -- but don't hold your breath!
James E. Stubenrauch, Massapequa
It is very upsetting for many people in the workforce to read current union leaders say their people have already sacrificed enough, when the sacrifices they have made are for benefits that many never had in the first place ["Fired, then hired," News, Jan. 6].
My humble suggestions: Remove the tiers and treat all employees the same. This creates a sense of fairness and saves on accounting.
Freeze the pension benefit, and start a 401(k) plan for employee contributions with a 0.5 percent employer (read taxpayer) match. Those closer to retirement have already accumulated a good pension and maybe they should accept the absurdly generous $1,000 per year of service buyout. The younger employees will have a smaller pension waiting for them and can feel more secure in that knowledge than many of their struggling or unemployed neighbors.
Next, people should not be able to collect their pensions until they reach retirement age, based on the age set by the Social Security Administration. No more 20 years of service retirements. That's ridiculous. Pension benefits are for retired people.
Last, a question: Why are there so many different unions representing public workers? They are all paid from the same pocket (the taxpayer), all work for the same employer (the various levels of government), and all should be under one set of employee guidelines. It's just practical.
Michele Brass, Bethpage
