Retired school workers to see cost-of-living increase frozen
COLUMBUS, Ohio (AP) — The School Employee Retirement System in Ohio will freeze cost-of-living increases for three years for 75,000 pensioners and is pushing for a similar change for more future retirees.
The Columbus Dispatch reports the SERS board voted on Monday to move forward with legislation to enact an identical freeze for about 125,000 more future retirees. The freeze for current retirees will start in January.
Pension fund executive director Richard Stensrud said in a news release that the change was “the best way to address the system’s short-term and long-term financial challenges.” Under the plan, the retirement system will continue to provide health care benefits.
The pension fund covers non-teaching school employees such as cooks, treasurers and bus drivers.
The SERS has more than $12 billion in assets.
Information from: The Columbus Dispatch, http://www.dispatch.com