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Brown introduces pension plan

11:03 PM, Dec 1, 2011   |    comments
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SACRAMENTO, CA - Gov. Jerry Brown unveiled his 12-point pension plan to lawmakers Thursday morning.

Brown aims to reform state employee's pension plan and save $900 million a year.

"A lot of the items I'll propose in January you are not going to like, "Brown said.

The plan proposed moving new employees to a hybrid system that combines pensions with a 401K style plan. Many employees will have to contribute at least half of their pension costs.

Also, Brown proposes raising the retirement age from 55 to 67 years old.

Critics of the plan said the plan is not enough to fix problems in the pension plan.

Many believe that raising the retirement age will cause more problems. One lawmaker described a firefighter running into a burning building at the age of 66.

Brown wants all 12-points of the retirement plan on the 2012 ballot.


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