Wayne County Community College District Federation of Teachers AFT Local2000
801 W. Fort Street, Detroit, MI 48226 313-964-2570 or 964-0063 Fax: 313-964-1438 Email: wctch@aol.com
Dear Member:
I hope that your semester has gone well. This has been a tough year for workers across the country and especially here in Michigan. We at WCCCD have had challenges with the economy and we are attempting to work through those issues with the administration.
Our last union meeting was held on Friday, February 19 at the Downtown Campus room 236 at 3:00PM. Reports were made regarding the ongoing negotiations with the college and grievances. The finance report and the secretary's report were accepted as presented.
As you are aware there is a great deal of activity on the state level regarding the teachers' retirement plan. We recently received an email from Beth Thoreson of AFT Michigan providing an excellent overview of the Governor's plan. Because it is vital that we all know what is happening with our benefits, I have copied her email below.
John Olekszyk, whom many of you know as our representative on the MPSERS Board, was recently made Chair of the board’s legislative committee. He helped us battle through a very complex proposal to provide the following bulleted overview. Feel free to contact us for further information. We will keep you posted on when, how or if this moves forward.
Pension “Reforms” Under Discussion
AFT Michigan and other public education groups are reviewing and discussing the governor’s proposed pension and retirement reforms. The major components of the plan include:
1. A 3% increase in the amount that all school employees including Basic Plan members contribute to MPSERS. Employees hired after Sept. 2008 will have a .9% increase.
2. After Oct. 1, 2010 a 30 year cap on service time used to calculate pensions for all employees who currently have fewer than 30 years of service time, excluding purchased service time. Employees would receive benefits from a defined contribution plan for years beyond 30.
3. Eliminate MPSERS subsidy for dental and vision coverage for all who retire after Oct. 1, 2010.
4. New hires would have a hybrid pension system that includes:
a. A defined benefit plan which increases the final compensation
average from 3 years to 9 years.
b. A defined contribution plan based on employer/employee
Contributions
c. Raising the minimum retirement age to 65
5. A retirement incentive for all eligible employees who retire before a date specified in the bill which would increase the pension multiplier from 1.5 to 1.6.
The Governor’s proposed deadline for the effective implementation of the proposal is April l. As soon as these proposed “reforms” are put into a formal bill and introduced into the legislature, school employees and retirees will be asked to express their concerns to their state representatives and senators.
Please remember that at this time, the Governor’s proposal is just that, a proposal that must be passed by both houses of the legislature and can be amended along the way.
Our next meeting will be in April before the Spring break. Exact time, date and location to follow.
Yours in Solidarity
James W. Jackson
President
AFT Members Mobilizing for the Millage
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