State News
6:46 am
Mon March 17, 2014

How new pension reform law could impact state university employees

Illinois’ new pension reform law is set to take effect this summer. That leaves many employees at state universities nearing retirement age with unanswered questions. Some longtime workers who rely on what’s called the money purchase formula may see a cut in their monthly retirement benefit if they don’t retire by July 1st.

University of Illinois Finance Professor Jeffrey Brown talked with Illinois Public Radio’s Jeff Bossert about how those employees might be affected. Brown says the five lawsuits filed to block the pension plan are only adding to the uncertainty for workers weighing whether to retire: