As reported by the UCLA Faculty Association, the Congressional Research Service has issued a report on state and local pensions that looks, in part, at the question of whether or not governments can change the pension plans of current employees. “The report indicates that while in the private sector it is clear that already-accrued benefits cannot be taken away, employers can terminate plans going forward or reduce future accrual formulas for current workers. It indicates that the ability of state and local governments to make such changes for current workers is uncertain and provides discussion, but not a definitive answer.” The full report is available here.
