TALLAHASSEE, Fla. (AP) - The Florida House has passed a bill that would end traditional pensions for new state and county employees and teachers.
The bill (HB 7011) was approved 74-42 on Friday. It does away with guaranteed pensions for workers hired as of January 2014. The measure replaces pensions with individual investment accounts similar to 401(k) plans. It's been a priority of House Speaker Will Weatherford.
The measure does grandfather current employees into the existing pension plan. It also retains payments for disability and death benefits for survivors.
House records show 73 members are currently in the traditional pension plan. Thirty-seven are in the 401(k)-style plan and 10 are not enrolled.
Democrats and labor unions oppose the bill while Republicans and business groups support the measure.
The bill now goes to the Senate.
MARCH 22, 2013 9:58 AM
TALLAHASSEE, Fla. (AP) - The Florida House is poised to pass a bill that would end traditional pensions for new state and county employees and teachers.
The bill (HB 7011) is set for final passage on Friday. It does away with guaranteed pensions for workers hired as of January 2014. The measure replaces pensions with individual investment accounts similar to 401(k) plans. It grandfathers current employees into the existing pension plan.
Democrats and labor unions oppose the bill while Republicans and business groups support the measure.
House Speaker Will Weatherford calls the bill fair and says money that would keep going into the old pension plan would be better spent on health care and education.
