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| Date: | March 14, 2011 | | Contact Name: | Susan Closmore | | Contact Phone: | 651-296-5712 | | Contact Email: | susan.closmore@senate.mn | | For Immediate Release | |
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| SENATOR MIKE PARRY AND SENATOR GRETCHEN HOFFMAN INTRODUCE PENSION SHIFT BILL |
(ST. PAUL) – In an effort to bring employee pension participation more in line with the private sector, Senator Mike Parry (R-Waseca) and Senator Gretchen Hoffman (R-Vergas) introduced a pension shift bill Monday. The bill asks that government employees provide 3 percent more and government employers spend 3 percent less towards pensions.
“The path we are on now is simply unsustainable. The pension shift empowers government employees to have greater involvement in their own retirement. It relieves local government obligations to pensions and frees up funds for things like local property tax relief,” said Senator Gretchen Hoffman. “It also reduces the taxpayer’s liability to pay for government employee pensions. Our main goal with this bill is to bring government up to speed with the private sector.”
All state and local government employees are included in the shift except public safety employees like firefighters and police. Legislators and their staff, like all other government employees, are participating in this shift.
“This bill names legislators first. We need to live within our means and this bill will save the state’s General Fund approximately $50 million in the first biennium. This 3 percentage point shift from employer to employee allows government employers greater flexibility in budgeting,” added Senator Mike Parry.
Senators Dave Thompson (R-Lakeville), Roger Chamberlain (R-Lino Lakes), and Scott Newman (R-Hutchinson) are co-authors on the bill which will have its first reading on the Senate floor Monday.
