MEMPHIS, Tenn. — The Memphis Firefighters Association and the Memphis Police Association expressed some concerns about Mayor A C Wharton’s recent employee pension proposal.
Firefighters’ Association President Thomas Malone said his consultants are reviewing the mayor’s proposal.
He believes the pension plan prefers employees that work until age 60, which he said is problematic for firefighters.
“You don’t want a lot of 59-year-old firefighters showing up at your door,” Malone told WREG.
He said he remains open-minded, but he’d prefer if the changes didn’t affect current employees.
Malone said many workers have paid into their pensions as promised, but the city hasn’t held up its end of the deal.
Councilman Myron Lowery plans to propose a substitute ordinance in which changes only affect people hired after Jan. 1, 2016.
Malone said he’s also concerned about making major changes to city workers’ pensions, because it could discourage city workers from continuing to work in Memphis.
Memphis Police Association President Michael Williams agreed, saying there is a problem with “guys leaving left and right.”
The mayor’s proposal is two-fold: part market-based and part 401(a). It also includes a lifetime annuity.
A city human resources professional said this proposal differs from prior proposals, because it reduces the city’s liability.
The city council and administrations will address the issue Tuesday.
Mayor Wharton was traveling Monday and did not comment on the proposal.
http://wreg.com/2014/10/20/fire-police-unions-concerned-about-mayors-pension-proposal/