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Scott Signs Pension Bill In Spite Of Lawsuit

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Florida Governor Rick Scott (Source: Joe Raedle/Getty Images)

Florida Governor Rick Scott (Source: Joe Raedle/Getty Images)

Tim Kephart

Reporting Tim Kephart

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MIAMI (CBSMiami.com) – Despite a lawsuit from the Florida Education Association and other public worker unions; Governor Rick Scott signed Senate Bill 2100 into law, meaning all government employees to contribute 3 percent of their salaries to the Florida Retirement System.

Scott said that the new bill will save taxpayers and employers roughly $2 billion a year. Since Scott has signed the bill, the new law will be in effect starting July 1, 2011.

“Without reform, Florida’s government pensions and retirement system put a heavy burden on our state’s taxpayers. As a result, dedicated public servants were forced to face the uncertainty of future retirement benefits,” said Governor Scott.

That is unless the FEA doesn’t secure a temporary restraining order halting the forced contributions while the lawsuit is in court. The FEA said the change in the retirement contributions amounts to a 3 percent pay cut.

The plaintiffs alleged the new law violates contract rights as well as a state constitutional provision guaranteeing the right to collective bargaining.

The current system used by the Florida Retirement Fund has been in use since 1974 when the legislature halted any payments.

The 1974 law said the rights of retirement system members are “contractual in nature” and “shall not be abridged in any way,” according to the News Service of Florida.

The FEA said lawmakers could find other ways to make up the money if the lawsuit is upheld, including closing tax loopholes and fully collecting taxes on a goods sold over the Internet, but lawmakers rejected those ideas in the past.

The Florida Retirement Fund currently covers 655,000 active employees and 219,000 retirees.

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  • Charles

    It is about time!! Good job Gov.!!!!

  • Sandy

    Teachers are no different than any of the rest of us. They are not special people any more than any other govt. worker. The private sector has to contribute a percentage to a 401k or something similar. Seldom is a pension provided. That is something in the past. It is time for teachers and others to come to terms with life. We are all hurting, but they don’t feel that they should hurt as well. So sorry, they need to wake up. If tthe rest of us are not working, than how the hell do they expect to get paid. Many, tho not all of them, are teachers simply for the so called security and benefits of the job, and not because they love to teach. Lord knows the results that are produced are well known. They need to set a better example for the students.

    • Tony

      Why then, with all of those”great benefits”, didn’t you become a teacher? Still not worth it huh?

    • Hard Working Teacher

      18 years ago, I had a choice to enter the publc sector with more pay or enter the field for which I went to school. Knowing I would be (and still am) an excellent teacher, I chose my calling because the benefits would help make up for the low pay. I want all those who want to bash teachers to do my job for a week (I’ll even tell you and show you exactly what to do), and remember you’ll have the lowest of the low and the highest of the high in a course of six hours of instructional time, and you must teach all of them effectively (If class size doesn’t get “relaxed,” you’ll have 40 reading students who score a level one or two on FCAT, you’ll have 50 standard students who can pass FCAT but don’t have the motiviation or skills to take a more challenging class, and then you’ll have 50 more students at the honors level, and they are not all honors level students. If they relax class size, add 10 students to each of the three groups). Now, teach each group effectively like I have, and then make sure they can perform well on the assessment at the end of the week. Then do this again several more times, and when you can do this with skill and expertise, then tell me what a teacher does and does not deserve. Also, make sure they pass the state exam, which will determine your future pay now as this idiocy moves forward. I’ve worked two jobs all my life, so we can switch, and I bet I’ll do your job better once you show me what to do.

  • Luis Aponte

    It was about time, Thanks Governor Scott. As a private sector employee I need to contribute to my pension plan. 3% is nothing compared to the benefits they get.

  • Belony Jerry

    Have we seen the pattern or trend yet? wisconsin, ohio, michigan, new jersey, new mexico, indiana and florida. The right wing and the republican party try to turn back the clock so bad, it has become dangerous and ridiculous.Guess who are the enemy the working men, teachers , public employees, minority, immigrants.Not Wall street.What a shame.This country is finished

  • PhoneBill

    “The 1974 law said the rights of retirement system members are ‘contractual in nature’ and ‘shall not be abridged in any way,’ according to the News Service of Florida.”

    I love this argument from the union, it’s so easily defeated. Let me see if I can simplify this for the “educated” education union leaders: Gov. Scott is not touching the retirement system. The Governor is changing WHO will now be contributing to the retirement system.

    Have fun with that lawsuit and welcome to the working class.

  • ScottWillSaveUs

    All these public jobs are paid with taxes and when the taxes are not there, either these whiners get layoffs or you make them pay. They can quit their jobs and look for jobs in the private sector like every one else.

    All of these are tax sucking jobs and not revenue generating jobs, which is what we need.

    Thanks Governor, Keep up the good work!!

    • Tony

      Sometimes its best to stay quiet and let people think you’re the village idiot than to open your mouth and remove all doubt.

  • anthony brown

    see what bush did……

  • Teach

    Is he and his team getting a 3% cut as well?

  • PROTEST

    TEACHERS DO NOT REPORT TO WORK ON AUGUST 22ND!!!!!!!

  • bill

    I worked for Dade County in 1972 and paid into my retirement fund. Then finances got better and we did not have to pay. Now finances are worse and u have to pay. FRS is best system u could ever hope for.

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