Heroic Investing
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Radical Changes for First Responder Pensions

first responder

first responderPublic officials casting around for a new favorite whipping boy to deflect attention from their own miserable performances, have seemingly settled on the first responder pension. Politicians from California Governor Arnold Schwarzenegger to New Jersey Chris Christie and other top legislators seem hell bent on dismantling public worker retirement benefits. The primary push is to change from a defined benefit model to a defined contribution model.

The question becomes, do we really want to make first responder and other high risk professions even less attractive to enter? Heroic Investing thinks this is a bad idea. While political operatives claim taxpayers will benefit from a radical public retirement reform, we beg to differ. The result of a defined contribution model is that emergency workers will end up with a lower, unstable retirement income, a state of existence not likely to attract and retain high quality people in critical jobs like police, fire, and EMT.

If you want quality, you must pay for it. We hope that staffing first responder positions doesn’t become something akin to trolling for gullible teenagers to work at the local fast food joint. And we’re somewhat suspicious that the much-lauded savings to taxpayers will ever materialize. Reforming a proven system is a risky gamble. The reason the present system has persisted so long is that it works. It’s the most cost-effective way for taxpayers to receive high quality delivery of vital services.

The Heroic Investing Team

HeroicInvesting.com

Flickr / BAR Photography

 

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