|Very Revealing Graph Kindly Forwarded by Josh Dow|
They incessantly pound it into the heads of their followers that public workers are on some sort of gravy train. Imagine, being able to retire, why the nerve of it! It's part of their divide and conquer strategy. Meanwhile these same followers have been sold a bill of goods called the 401k with the false comfort and ego stroke that it is "your own money". That is until those that control the "free" market come looking for more of what they consider to be theirs. Fairies, Frog Princes and Free Markets! And so rather than coming up with good solutions to ensure the secure retirement of all Americans and the stable economy that will promote, the cynical politics of division are invoked. Cuz the grass is always greener on the other side of the fence right? Please read on!
A reprint from Your Views in the Walworth County Sunday on May 5, 2013 Submitted by Ron Shrader of Beloit
Another View of Teacher Pensions
To the editor,
Here are some little known facts about the teaching profession. Teachers bargained in early years to have their portion of the retirement contribution paid by their employers in lieu of a pay raise. When the legislature took away that provision in 2011, teachers actually lost that pay raise.
Teachers are required to contribute to the state pension program. Payments are automatically deducted from their paychecks. Retired teachers do not receive an annual cost of living increase. For teachers to receive an increase, there must be an investment return in excess of 5 percent with no outstanding deficits to be made up from previous years' investment losses.
To illustrate: the core fund had a loss in 2008 of 26.2 percent. In the following years, the fund had gains of 22.4 percent, 12.2 percent, and 13.7 percent. However, during that five-year span, retirees did not receive any gains. Instead their pension was reduced by 21.2 percent in many cases. Last year, the deduction was 7 percent and this year, 9.6 percent. Wisconsin retirees in the state pension plan experienced a total reduction of more than $4 billion over the past several years, according to the Wisconsin Retirement System.
Teachers also do not have a say in how their funds are invested like private sector investors do in their 401k plans. Teachers who are Wisconsin residents pay state taxes on their pension unless they started teaching prior to 1964. END LETTER
How do you like that gravy? And I can attest to the part about the 9.6% reduction because my Father is a retired Racine Unified Teacher. And every time I talk to my Mother she vows that she will make a commensurate 9.6% cut in their consumer (job creating) spending. And she's a stubborn Hungarian so you better believe she'll do it!
Now the drop in the retirement funds experienced by my parents and tens of thousands of other former public and private sector workers across Wisconsin are not Scooter's fault, they are the result of the Great Republicon Recession of 2008. Thank you Bu$hyboy, et al!
But you don't make things worse in a recession by attacking the spending power and security (not to mention the dignity) of pubic workers when the private sector has gone in the tank due to GOPster deregulation, avarice and hubris. Because Demand is the ONLY Job Creator! Especially when 75% of the economy is consumer demand! The one percent just can't buy that much stuff, it has to be the middle class. But the middle class is under attack by the likes of Scott Walker, Pall Ryan and their Plutocrat Ruler worshiping brethren. So that is exactly what they have done. And THAT is exactly why It's Not Working Walker!
We can turn Wiscossippi back into Wisconsin by dumping this austerity nonsense and it's failed proponents, and by wisely investing in all our infrastructure for the 21st century (not just road builders), by stopping the attacks on workers (consumers) and labor rights, by working to make average people feel more secure in their jobs, their healthcare, their retirement and their income so they feel they can spend money at local businesses, the primary employers in or economy. Or who knows, possibly even feel they can take the risk to start their own small business!
And speaking of Pally, it turns out that the economists that he's been hanging his austerity hat on were not only wrong, but DEAD WRONG! http://rootriversiren.blogspot.com/2013/04/paul-ryan-just-another-pretty-face.html
But do you think Pall Ryand will change his tune? Don't bet on it. He's like one of those shallow, annoying 70's disco songs that pop into your head and then won't go away!
When your facts are gone you must go on
When caught in your lies don't be shy
It's hard to bear
With no truth to share you're going nowhere
When you lose control cuz you got no soul
When you're telling tales cuz your spreadsheet fails
It's hard to bear
With no facts inside you, you're going nowhere