New York City Police and Firefighter Pensions: Somebody Call OSHA
This is my third post on a tabulation of Census Bureau data on public employee pension plans in New York and New Jersey over the decades. The first was on the separate pension funds for teachers. The second was on the large plans that cover most state and local government pensions in the two states. This post is on the separate pension plans for New York City and New Jersey police officers and firefighters. Although they have different benefits, police officers and firefighters in the rest of New York State are covered by the same state pension system that covers most public employees, and data for police and fire is not reported to (or collected by) the Census Bureau separately.
The data show that the New York Police Pension Fund Article 2, the New York City Fire Department Article 1B Pension Fund, and the New Jersey Police and Firemen's Retirement System are deep in the hole. In the most recent year for which data is available they paid out the equivalent of 8.0% to 10.0% of their assets, but those assets ought to be sufficient to pay all of the benefits owed to current retirees, most of the benefits owed to those soon to retire, and some of the benefits owed to younger workers. And given how generous pension benefits are for New York and New Jersey’s police officers and firefighters, that means there ought to be enough money in the funds to pay monthly benefits for decades. There isn’t. And in the case of the NYC firefighter’s fund there hasn’t been for decades. The charts and discussion are here on Saying the Unsaid in New York.