facebook
twitter
rss
account
search
search
 

Detroit city workers worried about pension

April 5, 2013 at 4:28 PM   |   Comments

DETROIT, April 5 (UPI) -- Retired city workers in Detroit are worried that Emergency Manager Kevyn Orr will cut pension benefits and healthcare.

A cut to pension benefits would affect about 30,000 current and former Detroit city workers, The Detroit News reported.

"It's a concern," said Reggie Amos, who retired from the Detroit Fire Department in 2009. "That's why I keep my thumb on the pulse of Detroit."

Orr is required to submit a preliminary restructuring plan to city officials by mid-May. He is considering several plans, one including changing labor agreements and restructuring the city's debt. That would involve pension and retiree healthcare obligations, one of the biggest bills the city pays.

"An emergency manager is going to have to find savings wherever he can find them," said Douglas Bernstein, a Bloomfield Hills attorney and expert on municipal bankruptcy.

However, changing the city's pension plan would require a ruling by a bankruptcy judge, which may be overruled by the state constitution.

"In law, nothing is a sure thing," Bernstein said. "We're setting up a showdown over what takes precedence -- a bankruptcy judge or a state's constitution."

Amos said regardless of whether pensions are changed, current city workers are already being hurt the most by city's budget changes.

"They're the ones who are really going to take the hit," Amos said.

© 2013 United Press International, Inc. All Rights Reserved. Any reproduction, republication, redistribution and/or modification of any UPI content is expressly prohibited without UPI's prior written consent.
Most Popular
1
France holds up delivery of warships to Russia France holds up delivery of warships to Russia
2
Police suspect poisoning in death of Utah family Police suspect poisoning in death of Utah family
3
Piece of Amelia Earhart plane identified from Nikumaroro Piece of Amelia Earhart plane identified from Nikumaroro
4
Hawaii lava update: 100 feet from home, National Guard deployed Hawaii lava update: 100 feet from home, National Guard deployed
5
Navy SEAL who claims to be Bin Laden's shooter to reveal identity on Fox News Navy SEAL who claims to be Bin Laden's shooter to reveal identity on Fox News
Trending News
Around the Web
x
Feedback