Plain English Breakdown
The official source material does not specify any additional limits on these negotiations beyond the existing PEPRA restrictions.
California Public Employees' Pension Reform Act: Exceptions for Supplemental Plans
This law allows certain California public employers to negotiate contributions for supplemental retirement benefits with employee unions, despite previous restrictions.
What This Bill Does
- Allows public employers in California to negotiate about extra retirement benefits with employee unions.
- These negotiations can happen even though there were earlier rules against offering new types of pension plans after a specific date.
Who It Names or Affects
- California public employers who want to offer extra retirement benefits to their employees.
- Employee unions representing workers in these public agencies.
Terms To Know
- defined benefit pension plan
- A type of retirement plan where the employer promises a specific amount of money when an employee retires, based on factors like salary and years worked.
- supplemental defined benefit plans
- Extra retirement benefits that add to the basic pension plan for public employees.
Limits and Unknowns
- The law only applies if the employer had a supplemental plan before January 1, 2013, or is allowed by other laws to start one.
- It's not clear how many employers will actually use this new permission to negotiate extra retirement benefits.