Pensions: Allentown Teachers Getting Too Much?

For quite a while Allentown teachers have been taking heat over their retirement pensions from the Allentown School District. Some taxpayers are cranking that these ridiculous school taxes are all because of these teachers receiving extravagant pensions. This issue is more complex then that.

Much of what is being said is based on opinion by biased individuals. Some of who are being less then truthful when it comes to the actual facts. What I'm attempting to do with this post is present factual research along with links to their sources followed by my opinions..

Burning The Candle At Both Ends
One of the unintended consequences of laying off or forcing teachers to retire is now there are less employees who are paying into the pension fund. According to Pennsylvania's Public Schools Employee's Retirement System (PSERS) teachers contribution rates starting July 1, 2013 will be 16.93%. Depending on which source one references the average ASD teacher's salary varies between $50,000-$60,000.

Since Gov Corbett assumed office in 2010 Allentown has left 404 teachers go. This works out to $3,761,846 ($55,000*.1693*404) less being paid into the pension fund from Allentown teachers that would have been otherwise.

This is a big deal because last year Allentown teachers were the 4th largest contributor.

Statewide according to PSERS the "contributions (over 30 years) are expected to be nearly $1.2 billion less than previously projected despite the higher employer contribution rates" because of these layoffs and early retirements.

What Is The Average Pension For A Teacher In Pennsylvania?

Statewide According To PSERS

What Contributed To This Mess?
Pennsylvania declared itself a pension fund contribution holiday: According to the Pennsylvania State Education Association (PSEA) November 2012, "The General Assembly made changes to laws governing the Public School Employees’ Retirement System (PSERS) in 2001, 2002, 2003, and 2010 that provided employers with and then continued an employer contribution holiday. School districts and the Commonwealth did not pay their fair share over a 12-year period."....

"The PSERS employer pension rate was set to increase to 7.58 percent for the 2010-11 school year, but the General Assembly, needing to find additional funding to balance the budget, rolled back the increase to 5 percent with passage of Act 46 in July 2010. By deferring the rate increase, it added to the pension debt."

In Defense Tom Corbett Put Out This Video In March 2013


So what does Governor Corbett intend to do about this?
In May he supported creating yet another payment holiday by supporting Senate Bill 922 which would cut pensions and further delay the increased employer contributions. The bill as of June 20th, 2013 is currently being reviewed by the appropriations committee.


In My OpinionThe reason this blog doesn't get a bunch of comments is it's whole lot sexier for other bloggers and readers of them to ignorantly bash teachers rather then read dry material like I've presented above.

What we have here is a case of mob mentality ignorantly going after yet another segment of the middle class while getting their pockets picked. In others words most people are being duped by those who are lining their pockets while the average smuck isn't even aware of the what's really going on, thanks in no small part to what's being reported in the media and by other bloggers.

There are a couple of conclusions one comes to after becoming aware of the true facts...
* The state has reprioritized what it wants to spend money on. Education has been shortchanged as well as middle class teachers while NIZ, KOZ and other programs have been assigned a higher priority for those who have motives to seek profit in the private sector. This coupled with the tax breaks that are benefiting political contributors to the detriment of other working Americans who are just trying to eek out a fair, ethical and decent living.

* The teachers, like most of the middle class and unions, have become scapegoats for the money grabs by those seizing political economic control who are well connected (at all levels).

* Other bloggers in the Lehigh Valley are either displaying their ignorance, too lazy to do the research or are seeking to garner attention by posting half-assed misinformation when it comes to these teachers.Working folks who read these blogs can chose to continue to rip each other apart or support one another. Frankly I want no part of these other bloggers who for a long time have been more concerned about bashing one another, disrespecting another blogger and/or are disrespecting some other segment of society because it's all the rage with some sheeple .

As to whether that makes this blog popular with others or not...
seeking out facts is what shall remain my highest priority.