“Today, Michigan became a leader and a champion of retirement reform.
Senate Bill 401, now Public Act 92 of 2017, provides future school employees with a competitive defined contribution plan and protects and secures existing retirement plans for current and former school employees.
Pensions are a thing of the past. Employees entering the workforce today expect to receive a competitive retirement option that allows them the flexibility to plan for their future. For too long now, Michigan’s teachers and school employees were enrolled in an upside down system where they work each day to pay the pensions of colleagues who had long since retired.
This reform was long overdue. As lawmakers, it is our responsibility to act in the best interests of the taxpayers. This law safeguards against the accumulation of more and more debt and gives future school employees better options to plan for their retirement.”