Governor Hochul Finalizes $557 Million Pension Deal with Limited State Funding
Governor Kathy Hochul has finalized a significant pension deal with public service unions, which involves a total of $557 million in funding. However, the state of New York will only cover $118 million of this amount, leaving the remaining $440 million to be funded by local municipalities and public employers. This agreement follows extensive budget negotiations and discussions with AFL-CIO President Mario Cilento. The deal includes provisions for Tier 6 teachers to retire penalty-free at age 58 after 30 years of service, a reduction from the previous age of 63. Additionally, pension contributions for state and local public employees will be adjusted to a tiered range of 3% to 5.75%, based on salary brackets. The agreement also modifies overtime caps for calculating retirement benefits for emergency personnel and civil servants. 
