Gov. Quinn Signs Law To End Pension ‘Double-Dipping’

CHICAGO (CBS) — Gov. Pat Quinn has signed into law pension reforms aimed at fixing some loopholes in the system.

The law takes effect immediately. It aims to end the practice of so-called double dipping for public employees.

In some cases, employees took leaves to work for their unions but continued to build benefits in government pension systems based on union pay.

The law also closes a loophole made possible by a 2007 law that allowed two lobbyists for the Illinois Federation of Teachers to qualify for teachers’ retirement benefits by spending a single day teaching.

Quinn signed the bill Thursday.

Illinois House Republican Leader Tom Cross was a sponsor of the bill. He says the law means that pension abuses can’t run rampant.

The law doesn’t address Illinois’ grossly underfunded pension system.

For that reason, watchdogs say the law doesn’t go far enough.

“It will leave that state of Illinois with $85 billion in unfunded promises,” said Laurence Msall, president of the Civic Federation. “It does not address the elephant in the living room for the state of Illinois: How are we going to fund this pension program and keep it from becoming insolvent?”

LISTEN: WBBM Newsradio’s Regine Schlesinger Reports

(TM and © Copyright 2010 CBS Radio Inc. and its relevant subsidiaries. CBS Radio and EYE Logo TM and Copyright 2010 CBS Broadcasting Inc. Used under license. All Rights Reserved. This material may not be published, broadcast, rewritten or redistributed. The Associated Press contributed to this report.)

  • Wolf

    What about stooping the public sector pension fraud all together…what taxpayer ever agreed to guarantee these politicians and their army of public workers 80% or more of their final pay for life with little to no contributions…this is outright fraud on the taxpayers…repeal the pension funds today…provide a maximum of $50K annually for those beyond 35 years and all else get a self funded 401K and Social Security like everyone else…this fraud is costing trillions of unnecessary costs to the taxpayers…there are no Kings and Queens in this Country according to the Constitution…

  • Just the Average Joe

    Great! Now get the legislature to stop immediately all COLA for all pension plans. The 3% annual COLA is one of the most expensive elements of the pensions plan and it is not customary or normal in any private plan. Nobody gets a guaranteed COLA every year for life except the IL pensioners. We can’t afford it, and it is not fair to the taxpayer.

  • Curious

    What do similar employees in other states get, compared to Illinois?

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