I say liquidate the pension fund and give back to the workers in a 401K
This is a good idea. Take whatever is in the pension funds, and divide it up among the beneficiaries. And tell them, this is what you are going to get. Politically would be difficult, but, since we see the projected shortfalls of promised pension payments are so huge, something’s gotta give.
The way I look at it, it is their money. And the less the government has control of it, the better. But politicians and unions promised these lofty pensions. A gym teacher in New Jersey, making 112K a year will retire with a promised pension of 61K a year plus full medical benefits for life.
That teacher put in less then 100K into the pension but will get his money back in the first year. The taxpayers are on the hook for the rest of his life.
That is not a pension, it is a Ponzi scam. Madoff went to jail for a scheme like that, but our political officials get re-elected.