Unfunded Pension Guru Speaks Out- Offers Solutions

Why Didn't I think of That?

Michael McDaniel May 2008

Marsha Fritz, vice president of the California Foundation for Fiscal Responsibility and a member of the Governmental Accounting Standards Board Pension Accounting Research Advisory Committee recently outlined her expert opinion (complete with solutions) on the current unfunded pension crisis HERE.

She calls on Union leaders to change there strategy. She insinuates that Union leaders (and thus public employees) would be better served to partner with government agencies instead of competing against them (...hand that feeds you).  Her suggestions offer the Unions both future job security and insurance that past promises are fulfilled.  She points out the necessity of government agencies to stay afloat long enough to make good on past promises.  The only "out" for government agencies is bankruptcy, and bankruptcy would hurt unions too. 

It has been argued that Unions helped "us" get into this mess, and Mrs. Fritz suggests that it should be the Unions that help "us" get out of this mess.

Kudos to the Sacramento Bee for continuing to highlight the unfunded pension crisis.