Pension Bargaining

To the Editor:

Public-employee "collective negotiations" is in need of reform because of its impact on New York's economy and politics. Collective negotiations relates to terms of employment including conditions relating to pensions between an employer or a group of employers on the one hand, and representative public-employees' organizations on the other.

In his annual State of the City speech, Mayor Michael R. Bloomberg indicated a preference for changing the collective-bargaining process for pension that the New York State Legislature enacted in 1973. The Mayor wants to prevent public-employee unions from making end runs around the city by convincing state lawmakers to improve pensions.

While the Mayor's message is straightforward, the public does not have enough information to form an opinion about collective negotiations. When the Mayor releases the details of his proposal, it will cause interested parties to examine his objectives for coalition negotiations, number of coalitions, designation of negotiation representatives, scope of coalition negotiations and impasse procedures.

New York State lawmakers, with recommendations from other elected officials and special interest groups, determine public pension policy. Representative of private employers' organizations and the city, for example, recommend reducing pension benefits and cutting pension costs. On the other hand, employee unions often convince state lawmakers, over the objections of employers, to improve employee pensions.

The Mayor's proposal may be one of the most critical pieces of pending legislation this year. However, there are a host of uncertainties about collective negotiations. I hope there will be public hearings about this public policy issue.

JAMES A. BEIRNE

Editor's note: The NYS Archives Partnership Trust awarded Mr. Beirne, a former Assistant Chief City Actuary, a grant to write about the Role of Public Policy and the New York Public Retirement Systems.