Union Doubts Pension Study Numbers
(Memphis) The debate over changes to the city of Memphis’ pension plan is just heating up.
Memphis Firefighter Association President Thomas Malone said he’s not confident in a recent study the city of Memphis had completed by PricewaterhouseCoopers on the city’s pension plan.
“There are disclaimers in here by PWC there’s supposedly surveyed groups that nobody knows about,” said Malone.
“I have told this administration from the get go, that we have actuarial people standing by and we need the data for them to do an independent analysis of what’s going on,” added Malone.
The administration said they are willing to help Malone out.
“We happen to believe the numbers but before we came up with a specific recommendation we are giving everybody a chance to test the numbers,” said Mayor AC Wharton.
City administration said they will come up with solutions to fix the plan that right now has $682 million in unfunded liabilities.
“We do know one thing, that the amount we have been paying and are now paying is simply insufficient,” said Wharton.
As those options are considered, Malone said pension changes could have a lasting impact.
“If they want to go to defined contribution, I’m very concerned that we will have a revolving door here. We are going to train firefighters and within 4 years they are going to be looking for other employment,” added Malone.