CalPERS retirees soon to surpass workers

Outgoing San Jose Mayor Chuck Reed, the Democratic pension reformer, has a great joke. He says that, soon, his city will have a single employee; whose only job will be to mail pension checks to retirees.
CalPERS is gettin’ there.
Reports Calpensions.com:
In a few years CalPERS retirees are expected to outnumber active workers, a national trend among public pension funds that makes them more vulnerable to big employer rate increases.
A mature pension fund for a growing number of retirees becomes much larger than the payroll. So if the pension fund has investment losses, an employer rate increase to help fill the hole takes a bigger bite from the payroll.
The growing number of retirees, partly due to aging babyboomers, is one reason a staff report last week argues that CalPERS has too much “risk” and should consider a number of options during a board workshop early next year.
The “employer” stuck with the “rate increase,” of course, is the California taxpayer.
Those who haven’t left.
Related Articles
Meg Whitman, Shrinking Violet
Steven Greenhut: Meg Whitman, or at least one of her 1,428 campaign aides, is outraged that a Jerry Brown aide
Important government hearings
In case you were assuming that our legislators are working on the state’s broken budget, the following is from today’s
Budget fight shows unlikelihood of fed $ for bullet train
Congress’ most intense squabbles over the $1.1 trillion omnibus spending plan that passed Saturday weren’t over the budget details. They