Leaders of the University of California on Tuesday rejected a demand by 36 high-ranking employees that the system grant them larger pensions. The executives have threatened legal action unless the system uses a more favorable formula to calculate their pension benefits, drawing an angry response from faculty members, legislators, and Gov. Jerry Brown. The dispute comes as the system is cutting retirement and health benefits for most employees and is preparing itself for a new round of state budget cuts. “These are valuable employees, but I think they have misread the situation,” Russell S. Gould, chair of the system’s Board of Regents, told the Los Angeles Times.
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4 Responses to U. of California Leaders Reject Bigger Pensions for Executives
_perplexed_ - January 5, 2011 at 4:37 pm
These 36 individuals have have offended and embarrassed thousands of UC students, faculty, and staff and have irresponsibily angered California taxpayers at a time when the University greatly needs the public’s support. These administrators should apologize at once– any who fail do to so should be relieved of their administrative duties. No UC employee is more valuable than the PR cost that UC has already paid.
jbarman - January 5, 2011 at 4:54 pm
One of the links indicates that “Lifting the cap would cost $5.5 million a year, with another $51 million to make it retroactive to 2007, as the executives want.”
Another link indicates there are 200 individuals in the UC system who earn over $245,000 per year – which is the proposed pension cap. It’s difficult to know if the $51 million in retroactive payments applies to all 200 individuals, or just to the 36 cited above. Either way, it’s a ton of money per person and it’s hard to justify when the unfunded pension already exceeds $21 billion.
a_voice - January 5, 2011 at 7:44 pm
Insensitive executives. That’s odd!
mmcknight - January 6, 2011 at 12:49 pm
Greedy executives who disgust the rest of us–also odd!