Episode 3 of Retirement in America features a conversation with Republican Alaska State Representative Chuck Kopp, a former police chief. He discussed how Alaska became the only state in the nation to eliminate traditional pensions for most newly hired public employees and how that decision contributed to severe shortages of teachers, police officers, firefighters, and other essential public workers.
Nearly two decades ago, Alaska closed its traditional pension plans to newly hired public employees, becoming the only state in the nation without traditional pensions for teachers and most public employees hired since 2006. Since then, the state has struggled to recruit and retain public workers as many prospective employees choose jobs in states that continue to offer pension benefits. The workforce challenge has become particularly acute in education, public safety, and other essential government services.
Watch Episode 3, The State That Eliminated Pensions and Wants Them Back, below.
“As Alaska's teachers, police officers, and firefighters move to states with stronger retirement benefits, policymakers are seeing that retirement benefits remain one of the most important tools for building and maintaining a stable public workforce. Alaska's experience offers important lessons for every state as policymakers consider how to design retirement benefits that attract and retain the qualified employees needed to deliver essential public services”
Retirement in America is a monthly podcast series from NIRS that examines the economic, workforce, and policy trends influencing retirement security. Combining expert insight with real-world experiences, the podcast helps listeners better understand one of the most important financial issues facing American workers and families today. Future episodes will feature discussions on retirement policy, Social Security, pensions, workplace retirement plans, demographic and workforce trends, and the lived experiences of Americans preparing for or living in retirement.