The Department of Employee Trust Funds said the cutbacks are the last in a series of reductions caused by the most recent recession, the Chicago Tribune reports. Payments have decreased since 2009, the year after the fund saw a 26% loss in the recession.
This year, pension payments saw a 7% drop. Not all people who receive the pension will be subjected to a full reduction, which is dependent on the type of plan they choose and their minimum payment.
Morningstar Municipal Credit Research said Wisconsin has the strongest-funded pension system with a funded ratio of 99.8%, according to a link on the State of Wisconsin Investment Board’s website. Pension payments are based on the performance of funds managed by the State of Wisconsin Investment Board and factors like how many retirees are entering and leaving the system.