Wednesday, June 22, 2011

Union files lawsuit to block state pension overhaul

A coalition of unions, led by the Florida Education Association, filed a lawsuit looking to block part of the overhaul of the state pension system passed this spring by legislators.

The lawsuit filed in Leon County contends that state lawmakers and Gov. Rick Scott cannot mandate that current public employees start contributing 3 percent of their salaries on July 1 to cover pension costs. Instead they said the change can only affect new hires.

The same argument is made about changing cost-of-living increases.

?This pay cut was used by legislative leaders to make up a budget shortfall on the backs of teachers, law-enforcement officers, firefighters and other state workers," said FEA President Andy Ford. ?It is essentially an income tax levied only on workers belonging to the Florida Retirement System. It?s unfair -- and it breaks promises made to these employees when they chose to work to improve our state.?

The lawsuit was filed on behalf of 11 public employees, including teachers, a custodian working with the Madison County schools, a maintenance worker in Leon County, and two sheriff?s deputies from Santa Rosa County.

State lawmakers mandated the 3 percent contribution rate as a way to help the state deal with a nearly $4 billion budget shortfall. Scott said it was only fair that state workers be required to pay some portion of their pension costs. Florida is the only state in the nation that did not require some type of contribution level.

The lawsuit, however, will not immediately stop the 3 percent contribution. Instead attorneys for FEA have asked for an injunction that would force the state to place the money in a separate account so that it could be returned to public employees.

Ron Meyer, an attorney for the FEA, said on Monday that this is just one in a series of lawsuits the union is likely to file in the near future. He said that it was likely the union would file a lawsuit to block the state's new teacher merit pay law. He also said the union may challenge a proposed constitutional amendment that would strike down a ban on state money going to religious institutions.

Source: http://feeds.fltrib.com/~r/thefloridatribune/~3/Go8a-_wGhkU/go_current.cfm

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