New York Democrats Reject Governor’s Pension Changes

March 12, 2012 ( – Assembly Democrats in New York rejected Governor Andrew Cuomo’s proposal to raise the retirement age and offer a 401(k)-type plan to new workers.  

According to Bloomberg, Assembly Democrat Majority Leader Ron Canestrari said in a telephone interview that the changes are not part of the Democrats’ budget and will be handled separately. Assembly Speaker Sheldon Silver said last week that the governor must work out an agreement over his pension overhaul with the unions before the house will vote on the measure.

Cuomo met with union leaders March 6 to discuss pension reform and other items in the budget, Bloomberg reports.

Cuomo put the pension changes into his budget proposal for the fiscal year that begins April 1. He claims his pension plan will save the state and local governments $113 billion over the next 30 years, as it raises the retirement age from 62 to 65.

Cuomo warned that if lawmakers send him a spending plan without the measure, he will force the legislature to choose between shutting the government or passing his plan by using a budget extender, according to the news report.