Florida Supreme Court upholds retirement law

Posted at 11:23 AM, Jan 17, 2013
and last updated 2014-08-26 14:10:49-04

TALLAHASSEE, Fla. (AP) - The Florida Supreme Court has upheld a law requiring public employees to contribute 3 percent of their pay to the state's pension plan.

The 4-3 decision on Thursday reversed a trial judge's ruling that said the law violated the collective bargaining and contract rights of about 600,000 teachers, state and county employees and some city workers.

The ruling is vindication for Gov. Rick Scott and the Republican-controlled Legislature. It also avoided a nearly $2 billion budget gap for state and local governments that would have had to replace funds contributed by employees since the law went into effect in July 2011 if it had been struck down.

The Florida Education Association, which represents teachers, and other public employee unions challenged the law.