Big changes could be coming to Florida’s local pension systems (Orlando Sentinel)

November 25, 2012 – Overhauling the state’s retirement program for new employees could result in big changes for government pension plans in Broward and Palm Beach counties. Incoming House Speaker Will Weatherford proposes to make the state retirement system more like the private sector. He called the current pension system “old and archaic,” and suggested that new employees be required to enroll in defined contribution, 401(k)-type plans instead of relying on regular pension payments from the state. The defined benefit plan, or traditional pension plan, has a higher market risk for the employer and the defined contribution plan, or 401(k)-like plan, has a higher market risk for the employee, said David Matkin, assistant professor of public administration and policy at Florida State University.

Link to Full Article: http://www.orlandosentinel.com/news/local/fl-state-pension-change-20121125,0,289854.story

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