A bill that will create a two-tiered pension system for police and firefighters currently sits on hold in the state Senate, but both Deputy Fire Chief Greg Klaiber and Cmdr. James Hutton, secretary of the police pension board, have their reservations about the proposed system.
Klaiber said he fears the system would alter the work environment for firefighters and police officers.
“It would create a situation with two people working beside each other, doing the same exact jobs but different benefits,” he said. “I don’t think that’s a healthy situation.”
Hutton said he disapproves of the two-tiered system because it doesn’t alleviate the need for retirement funds for current employees. He also said it would cause problems for the Evanston Police Department in the future.
“Policemen will go from department to department, with no loyalty of staying,” Hutton said. “Policemen may work five to 10 years at our department, then go to a different one and get the same type of benefits.”
Gov. Pat Quinn signed a pension reform bill into law in April that created a two-tiered pension system for teachers and other state employees, but the law excluded firefighters and police officers. The two-tiered system would enforce a different pension plan for employees hired after January 2011 from the pension plan for current employees. Many employees in the public sector voiced their concerns over the two-tiered system because they feared it would not attract new workers, especially teachers, to work in Illinois. Hutton mentioned a similar concern.
“It would not attract the educated and the best of the breed to come to Evanston,” he said. “Part of attraction for the job is the pension they’ll receive upon retirement.”
In an editorial in The State Journal-Register, the editorial board supported House Bill 5873, saying it accomplishes the task of reducing the pension debt by reducing the pensions.
Klaiber also criticized the lack of negotiation between legislators, municipalities and police and firefighters.
“It seems like they’re doing it behind closed doors, then all of a sudden, they’ll have a bill and pass it,” Klaiber said. “The other pension reform bill came out of nowhere. They voted on it, and nobody knew about it. They’re just going to do the same thing with police and fire. All of a sudden, the law will change, and that’s it.”
He said though he is critical of the two-tiered pension system, he wants some type of reform passed.
“Something has to be done, whether it’s a two-tiered system, or changing the age for when we retire, or increasing members’ contributions,” Klaiber said. “I don’t know if all these things are being explored and being addressed, but they should be.”
– KRIS ANNE BONIFACIO