New bill aims to end 'pension spiking'
With states facing massive funding shortfalls for public pensions, California lawmakers will debate a plan that could end large pay raises for state workers on the verge of retirement.
A new bill by Assemblyman Ed Hernandez (D-West Covina) seeks to end the practice known as "pension spiking" -- when workers on the verge of retirement receive large pay increases, which in turn increase their lifetime pension benefits.
In a written statement, Hernandez said, "Teachers, nurses, firefighters and police officers deserve an adequate and secure retirement that is not threatened by a few unscrupulous individuals trying to fatten their own benefits."
The bill, AB 1987, was introduced this week. More details of the proposal are in Capitol Weekly.
-- Anthony York