A Simple Proposal

Proposed :

No public employee, whether elected, appointed, or hired, whether union or non-union, whether military or civilian, whether local, state or federal, at any level from President on down, shall be entitled to a defined benefit pension beyond social security, as modified as necessary for soundness.

Rather, they will be accorded various choices of portable contributary pension plans, which may include either present or future tax advantages and may include limited matching of contributions.

Given history, no rational private sector employee would/should choose a defined benefit pension plan and tie his future to a company that almost certainly will not exist when he retires. Note that a company that promises a defined benefit plan is even more likely to disappear. It will soon become clear that public entities below the federal level, not able to print money, will not be able to fulfill their promises either. At the federal level, the problems will only be delayed.

Regards, Don

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You've got my vote for this

You've got my vote for this proposal!

Once implemented maybe many of them well go get real jobs.

I'll be sure to pass this

I'll be sure to pass this along to the firemen who keep your entire neighborhood from burning down, the cops who keep your stuff safe and the veterans who sat in tanks keeping the Soviets from taking over the entire planet. I'm sure that once they realize that they don't have real jobs, they'll run right out and do something more productive.

You may prefer that those jobs be performed by private agencies. But there are no such agencies. And in their absence, lots of good people do lots of good things, often for way below market wages (Don't believe me: check out the going rate for soldiers at Blackwater.)

I can't see how it possibly advances our agenda to accuse a large segment of the population of not having real jobs.

And people wonder why no one takes libertarians seriously. Sheesh.

[Full disclosure: I am not employed by the federal government.]

Troll

And people wonder why no one takes libertarians seriously. Sheesh.

Now you've gone down to troll status.

Not that I care. Please, troll. This blog needs activity.

C.J., I can't see how it

C.J.,

I can't see how it possibly advances our agenda to accuse a large segment of the population of not having real jobs.

If you look again, it should be clear that I made no such accusation.

My point was that defined benefits are poison, whether for public or private sector employees and their employers. It would be hard to imagine that half of the municipalities in California won't be bankrupt in the next ten years. Defined contribution is simply superior to defined benefit in every way and won't bankrupt the employer.

Regards, Don

Don: That was a response to

Don:
That was a response to Steve, not to you.