Legislation introduced to limit ‘pension perks’
In an effort to address what many consider excessive compensatory abuses and practices within the public sector field of post-secondary education, Senate Bill 2162 has been introduced to eliminate housing or vehicle allowances from being calculated into the “earnings” of a member of the Illinois Municipal Retirement Fund, State Universities, and the Downstate Teacher Pension funds for pensionable purposes.
The legislation would restrict the pension benefits to the member’s salary only.
This measure came about after a recent Senate committee exposed how the “perks” enjoyed by higher education administrators becomes part of their final pensionable salary, resulting in bloated compensation packages.
The measure was introduced on July 28 and awaits assignment to a Senate Committee.