Pension Tsunami's Jack Dean on the Growing Wave of Public Pension Debt

[verysmartdude]

OCERS has to project into the future so the unfunded liablity would be if every County employee worked 30 years and collected a pension, there may be a problem. It's like buying a new house and you put 10 percent down, you can still make the payments easily but your bank account would have to funded to be able to pay the house off in full. Only 10 percent retire, OCERS still has to fund as all of them make a 30 year career, that were the unfunded liability comes from it's not really there.

[sonoki82]

Here are the top 5 tactics that public employees use when defending their obscene pensions. You will always see some variation of these:

1. These are contractual obligations. If you don't like it, blame your legislators, not us.

2. I work really hard/provide a valuable service.

3. 100K/yr is nothing compared to those Wall St. thieves. You should focus your anger on them.

4. The average pension is just 25K.

5. Cops/firefighters die young, so a 6-figure pension is no big deal.

[sonoki82]

@sonoki82 And the response to each:

1.The contracts are the product of collusion, not negotiation. Unions controlled both sides of the table.

2.We use market criteria to set comp, not subjective self-serving praise.

3.Let's deal with both Wall St. thievery and yours. Walk and chew gum at the same time.

4.Only when you average in part-time workers and people who left the payroll after a few years.

5. This is a lie. Cops and firefighters live longer than the average taxpayer that supports them.

[yougiberishtube]

thumbs up

[MrLuvmykidz]

Misinformation again... You don't get 90% of your salary at age 50. The formula is 3% at 50. Which means if you start working at 25 you would get 3% times the years of service at 50 years old. Thus you would get 75% not 90% which this guys repeats over and over. This retirement was intially for Public Safety only approved by City counsel members everywhere. Now everyone, state and county workers jumped on board. Blame those who approved it, not public safety.

[SaroDarksbane]

@MrLuvmykidz

They talk about 3% at 50 specifically. If you start working at 20 and retire at 50, that's 90%.

[sonoki82]

@MrLuvmykidz There is no difference b/t the "public safety" unions and the people who approved it. The former has bribed and bought the latter. You have coopted your bosses and as a result, there are no arms-length negotiations on these important issues. Instead, there is collusion to come up with the most obscene heist possible. Early retirement is a luxury, not an entitlement. Only the very wealthy and public employees with their taxpayer-financed trust funds count on quitting at 50.

[swamimans]

@MrLuvmykidz no i blame public safety because they benefits and their unions promote these ridiculous salaries and pensions. you must be a govt worker

[adamitshelanu]

What! Me worry? Obamie will fix everything, real soon now.

[IDLER223]

did he say fire and police get to collect social security at 50 years old

[Kg363]

@IDLER223 my friends dad is assistant fire chief and makes over 100k a year and gets 80% for the rest of his life. He will retire at 55. It ridiculous

[worldviewpr]

Change the default picture to Jack instead of da mayor!

[rollsthepaul]

All pensions will become completely worthless, by the end of 2011 when all world currencies cease to exist. Visit Halfpasthumandotcom and download Clif High's report for $10.00; quite a bargain. This is the big one folks.

[jwka2001]

5:14 that douche didnt even pick the trash can back up,,,,,

[captainimij]

if you have 100 retiries making 35 grand a year that's 3.5 million a year.Tripple that and I still don't see what the problem is.For years the worst job you could have was a state,county or city job.The only perk was the benifits and the retirement.even if your legacy costs are 100 million a year that should be well within your state budget.You take California(the 8th largest economy in the world)and tell me that they can't make good on people's retirement?Where does all the money go?

[averagejoe040]

@captainimij True, when they make these deals with the employees then they are obligated to put aside the money to fully fund the deal. Why didn't they? How are they allowed to underfund the pension in the first place? Why don't they go to jail?

[trime1851]

Since politicians cannot bring themselves to make hard choices and thereby alienate some portion of the voters, we will continue until the whole economics of our country collapses. Then things will be very ugly.

[phillipgaley]

Foolish guys, the state can sue itself, asking the state's supreme court to hear the matter and make resolution, . . .

[45means45]

Jon Voight meets Skeletor!

[helltrackrider]

Change the pension payout to .... Disney Bucks or Putt-Putt Golf Tokens - their choice; government employees are dumb enough to accept this a real cash, Hell Americans accept the money we use today as real cash...pathetic.

[duanescot]

i couldnt even finish the video, makes me sick to hear about these people making 90% at 50, all at the expense of the retirment of private sector folks that if they are lucky, might retire at 65 to 70, and then with probably 25% of what these guys get, and with no gurantee

[Trapster99]

Solution: Simple. There needs to be an honest eye to eye talk with the 40-30-20 year old state workers, "if pension obligations don't change NOW, you ladies and gentlemen will NOT have a pension of any kind in less than 10 years.

PS. The states have looted the 'lock box' of most state pensions to pay for current expenses. Translation: NO PENSION FOR YOU.

[oilhammer04]

Death by growing socialism . . . . drive businesses away due to over regulation and taxation. If California wasn't such a beautiful place to live, all the taxpayers would leave. 

[MagnusIan]

Socialism works until you run out of other people's money.

[TheAtheistAllegiance]

There are many ways to solve the deficit problems in California, but why target pensions that have already been contracted? That seems like another strike at the middle class to me.

[Surhotchaperchlorome]

Solution: abolish government.

[helltrackrider]

@Surhotchaperchlorome

Anarchism FTW!

[samuils]

@Surhotchaperchlorome Solution is to return to the Government that founders had in mind, the government that follows the constitution. I dont want anarchy, anarchy never ends good, nor does anarchy prevail for long, a tyrant always, Always takes over.

[Aeronomer]

@Surhotchaperchlorome And replace it with what Einstein?

[Surhotchaperchlorome]

@Aeronomer

Explained by Stefan Molyneux in his book, "Practical Anarchy".

[megagagnon1]

Fire all public workers and privatize everything. Mayor Oscar Goodman mentioned this as a threat while he was negotiating with the unions, but he wasn't serious. I think it's the only solution.

[MsWanderer1]

No renegotiations; just cut all pensions in half and let them sue after making a law that suing the government is illegal!

[Justwosweet]

I know conservatives hate the idea of a cradle to grave utopia but how about a cradle to grave work camp?

[Vlaxitov]

@Justwosweet

How about cradle to grave strawman?

[TheMobocracy]

@Justwosweet That's what my generation will get when we have to pay for the baby boomers not to work. A cradle to grave work camp.

[cooperbry]

"they're already bankrupt, they just don't know it." That's almost true at the federal level also.

[jnjnelson]

A "quick fix" is for recipients of pensions to own up and voluntarily renegotiate their pension benefit contracts to a new realistic contract, possibly actually going back to work and return to providing a little value back to the community that provides for them. Governmental force cannot be used to make this happen, but government officials can use their bully pulpit to encourage it. Make it simple and easy to renegotiate a contract and get back to work, and people might do the right thing.

[nhpr]

This is the second Reason.TV video that started with SuperTuxKart music. Hooray!