The National Institute’s report is a reminder that it’s wise to ask who benefits in a shift in public employee pensions from defined-benefit to defined-contribution plans. Not the taxpayers, and not the employees. That leaves the major promoters of public-pension panic: Wall Street investment operators, such as billionaire John Arnold. Wall Street collects billions in fees from big public pension funds, but its take from millions of individual retirement accounts is potentially much higher. The lesson for taxpayers and public employees alike is clear: when you hear “experts” talking about how ending defined benefit plans will save everybody money, keep your hands on your wallets.

Read full article [here].
by Michael Hiltzik, The Los Angeles Times.

Posted: August 21st, 2015, by: admin. Categories: . Awaiting Comments.