University of California System to Consider Pension Reduction

Under his proposal, current employees and the university would begin to contribute more money to the retirement plan, but there would be no reduction in benefits, according to Bay City News. Employees hired after July 1, 2013, would be offered a plan with slightly reduced benefits, a step that would cut costs by 20%, Yudof said.  

In addition, the minimum retirement age for new employees would rise from 50 to 55, and the age to receive maximum benefits would increase from 60 to 65.