Broken Promises: Michigan Lawmakers Pass Pension-Slashing Legislation with Higher Price Tag than Current Plan

Lansing, MI – On May 17, 2012, the Michigan State Senate passed pension-slashing legislation, Senate Bill 1040, that would undermine the retirement benefits of school employees and cost the state an additional $2-3 billion more than its current plan, according to the Michigan Office of Retirement Services.  The bill’s expensive price tag stems from a defined-contribution amendment that would switch the retirement plans of public school employees hired after Jan. 1, 2013 to a sole defined-contribution plan.

In its report, the Office of Retirement Services concluded that the defined-contribution amendment carried a heavier price tag than the state’s current Hybrid retirement plan for school employees. Up-front costs of switching employees to defined-contribution would total $402 million in the first year alone, in addition to the one-time administrative price tag of $8-10 million. What makes the legislation more puzzling is that the costs of the defined contribution plan are higher than the existing Hybrid plan, meaning that as more school employees are enrolled, the costs to the system will increase – the exact opposite outcome from what the initial bill aimed for.

Moreover, SB 1040 would further shift pension and retiree costs onto the backs of active and retired school employees, and concurrently deliver a severe blow to the retirement benefits for future school employees.

“It is ironic that the state lawmakers, justifying their pension overhaul by lamenting budgetary burdens, passed a bill that will actually cost Michigan more than its newly enacted Hybrid plan,” said Gary Olson of Public Sector Consultants.  “However, the real travesty is that the legislation undermines retirement security for future school employees. The consequences of these costs stemming from SB 1040 will include increased employer contributions, diminishing retirement benefits for future school employees, and higher state costs that will be paid for by taxpayers.”

The Coalition for Secure Retirement have called upon the politicians in Lansing to back off from the benefit cuts they are pushing and instead focus on solutions that will solve the structural problems in the public school pension system.

“This plan makes no sense.  SB 1040 creates a ticking time bomb for Michigan school districts and community colleges.  It ignores the real steps towards addressing the Michigan Public School Employee Retirement System (MPSERS) unfunded liability,” said CSR president John Olekszyk.  “The Michigan Senate may have started out with an eye towards reducing pension costs for our schools, but today they just made the problem worse.”

See an article here from MLive: Group Wants to Improve Service

Scientific and Engineering Unit

Technical Unit

Human Services Support Unit

Region 1

Region 2

Region 3

John Eck

DIVISION:  State Employee Division—Technical Bargaining Unit

EMPLOYER:   State of Michigan—Department of Transportation—28 Years

JOB CLASSIFICATION:  Construction Technician

SEIU Local 517M and other relevant experience:  Steward, Technical Unit Officer & Board Member, SEIU State Council Trustee, SEIU Convention Delegate, SEIU 517M Secretary/Treasurer.

Andy Johnson

DIVISION:  School & Local Government Division—Region 1

EMPLOYER:  City of Saginaw—28 Years

JOB CLASSIFICATION:  Remote Facilities Person II

SEIU Local 517M and other relevant experience:  Served in various leadership capacities with SEIU, Current 517M Secretary/Treasurer, President of the Saginaw Municipal Employees Chapter of SEIU 517M, Region 1 Board member, 517M Executive Board member, President of SEIU 517M AFRAM (affiliate of the National African American Caucus of SEIU), President of the Central Region AFRAM Caucus providing leadership for six states of AFRAM caucuses.

Position: Scientific and Engineering Unit Department of Transportation Board Representatives (3 Positions)

ONLY DEPARTMENT OF TRANSPORTATION MEMBERS VOTE IN THIS RACE

Dave Berridge

DIVISION:  State Employee Division—Scientific and Engineering Bargaining Unit

EMPLOYER:  State of Michigan—8 Years

JOB CLASSIFICATION:  Transportation Planner

SEIU Local 517M and other relevant experience: 2011 Bargaining Team, Lobby Day, NASHTU Conference in 2012, Worked with multiple unions (Teamsters, UAW) during 25 years of City of Lansing employment.

Therese Kline

DIVISION:  State Employee Division—Scientific and Engineering Bargaining Unit

EMPLOYER:  State of Michigan—10 Years

JOB CLASSIFICATION:  Transportation Engineer

SEIU Local 517M and other relevant experience: Acting Vice-Governor, Scientific and Engineering unit board member since 2011.

Jennifer Osborne

DIVISION:  State Employee Division—Scientific and Engineering Bargaining Unit

EMPLOYER:  State of Michigan—9.5 Years

JOB CLASSIFICATION:  Transportation Planner

SEIU Local 517M and other relevant experience: Five years on S & E Grievance Committee, Three years on S & E Unit Board, Administrator of S & E Unit Facebook page.

Arthur Slabosky

DIVISION:  State Employee Division—Scientific and Engineering Bargaining Unit

EMPLOYER:  State of Michigan—28 Years

JOB CLASSIFICATION:  Transportation Planner

SEIU Local 517M and other relevant experience: Steward since 2002, S & E Board member since 2006, Worked on parking rate issues.

The following candidates ran unopposed for their respective positions.  They will be certified as the winner for their position by the Election/Tally Committee.

SEIU Local 517M President – Bill Ruhf

Scientific and Engineering Unit

Divisional Vice President – Amy Lipset

Secretary – Steve Weis

Environmental Quality – Mario Fusco, Daryl Gotham, Bryan Grochowski

Agriculture – Arina Ferdig

Natural Resources – Jeff Braunscheidel, Jim Malloy

Community Health – Steve Haskell

State Police – Shelia Meese

LARA – Cindy Zastrow

John Eck

DIVISION:  State Employee Division—Technical Bargaining Unit

EMPLOYER:   State of Michigan—Department of Transportation—28 Years

JOB CLASSIFICATION:  Construction Technician

SEIU Local 517M and other relevant experience:  Steward, Technical Unit Officer & Board Member, SEIU State Council Trustee, SEIU Convention Delegate, SEIU 517M Secretary/Treasurer.

Andy Johnson

DIVISION:  School & Local Government Division—Region 1

EMPLOYER:  City of Saginaw—28 Years

JOB CLASSIFICATION:  Remote Facilities Person II

SEIU Local 517M and other relevant experience:  Served in various leadership capacities with SEIU, Current 517M Secretary/Treasurer, President of the Saginaw Municipal Employees Chapter of SEIU 517M, Region 1 Board member, 517M Executive Board member, President of SEIU 517M AFRAM (affiliate of the National African American Caucus of SEIU), President of the Central Region AFRAM Caucus providing leadership for six states of AFRAM caucuses.

Position: Human Services Support Unit President

Amy Davis-Comstock

DIVISION:  State Employee Division—HSS Bargaining Unit

EMPLOYER:  State of Michigan—10 Years

JOB CLASSIFICATION:  Unemployment Insurance Examiner

SEIU Local 517M and other relevant experience:  I have been a 517M member since 2002 and have served on the HSS Executive Board since 2005, Steward since 2008, attended Lobby Day and Annual Membership meetings, COPE Committee, SEIU Member Political Fellow program graduate, Lost Time Member Organizer.

Tomasa Haight

DIVISION:  State Employee Division—HSS Bargaining Unit

EMPLOYER:  State of Michigan—Department of Human Services—26 Years

JOB CLASSIFICATION:  Disability Determination Assistant

SEIU Local 517M and other relevant experience:  Served as representative for the members of SEIU Local 517M Human Services Support as a local Steward, Chief Steward, Grievance Consultant, Board Member, Bargaining Team Member, and have furthered my education and studies in Labor Relations through various seminars, and hands–on experience at various levels of State employment.

Position: Human Services Support Unit Unemployment Insurance Examiner Board position (3 Positions available)

ONLY MEMBERS IN THE UNEMPLOYMENT INSURANCE EXAMINER CLASSIFICATION CAN VOTE IN THIS RACE.

Jeanette Brown

DIVISION:  State Employee Division—HSS Bargaining Unit

EMPLOYER:  State of Michigan—9 Years

JOB CLASSIFICATION:  Unemployment Insurance Examiner

SEIU Local 517M and other relevant experience: Union Steward over 7 years, HSS Board for 2.5 years, Recently appointed Chief Steward, I am also a trainer.

Joey Combs

DIVISION:  State Employee Division—HSS Bargaining Unit

EMPLOYER:  State of Michigan—9 Years

JOB CLASSIFICATION:  Unemployment Insurance Examiner

SEIU Local 517M and other relevant experience: Former Alternate Steward, Former Steward, Former Member Lobbyist, Current HSS Division Board member, Current TEAM leader, Current 517M AFRAM Treasurer, Current HSS Division AFRAM Vice President, COPE Committee Alternate, Current AFL-CIO Alternate.

Janice Cosey

DIVISION:  State Employee Division—HSS Bargaining Unit

EMPLOYER:  State of Michigan—7 Years

JOB CLASSIFICATION:  Unemployment Insurance Examiner

SEIU Local 517M and other relevant experience:  Union Steward, AFRAM Caucus member, Alternate AFL-CIO Board member, Lobby Day participant, Protect Our Jobs Petitioner, New Solutions member.

Roderick Pritchett

DIVISION:  State Employee Division—HSS Bargaining Unit

EMPLOYER:  State of Michigan—3 Years

JOB CLASSIFICATION:  Unemployment Insurance Examiner

SEIU Local 517M and other relevant experience: Lost Time Member Organizer, Lobby Day participant, COPE work, workplace issue resolution.  Currently working with my church’s leadership board, YMCA and North Moore Community Group.

Leona Robinson

DIVISION:  State Employee Division—HSS Bargaining Unit

EMPLOYER:  State of Michigan—9 Years

JOB CLASSIFICATION:  Unemployment Insurance Examiner – Claims Examiner

SEIU Local 517M and other relevant experience:  Steward since 2005.  Community work with Gatherings of Hope and Pathways to Possibilities Cooperative with Calvin College and the local community.

Vote Now

The following candidates ran unopposed for their respective positions.  They will be certified as the winner for their position by the Election/Tally Committee.

SEIU Local 517M President – Bill Ruhf

HSS Unit Board

Vice President – Denise Edwards

Employment Services Interviewer – Joe Gabelsberger

Disability Determination Assistant – Heidi Zens

Combined at-large – Kevin Benson

John Eck

DIVISION:  State Employee Division—Technical Bargaining Unit

EMPLOYER:   State of Michigan—Department of Transportation—28 Years

JOB CLASSIFICATION:  Construction Technician

SEIU Local 517M and other relevant experience:  Steward, Technical Unit Officer & Board Member, SEIU State Council Trustee, SEIU Convention Delegate, SEIU 517M Secretary/Treasurer.

Andy Johnson

DIVISION:  School & Local Government Division—Region 1

EMPLOYER:  City of Saginaw—28 Years

JOB CLASSIFICATION:  Remote Facilities Person II

SEIU Local 517M and other relevant experience:  Served in various leadership capacities with SEIU, Current 517M Secretary/Treasurer, President of the Saginaw Municipal Employees Chapter of SEIU 517M, Region 1 Board member, 517M Executive Board member, President of SEIU 517M AFRAM (affiliate of the National African American Caucus of SEIU), President of the Central Region AFRAM Caucus providing leadership for six states of AFRAM caucuses.

Position: Region 3 Divisional Vice President

Carmella Johnson

DIVISION:  School & Local Government Division—Region 3

EMPLOYER:  Flint Public Schools—22 Years

JOB CLASSIFICATION: Paraprofessional

SEIU Local 517M and other relevant experience:  Served on two bargaining teams, attended rally day 4 straight years, attended training at Soaring Eagle and Lansing 3 consecutive years acquiring knowledge in union By-laws and laws of the state of Michigan.

Yolanda Langston

DIVISION:  School & Local Government Division—Region 3

EMPLOYER:  City of Detroit— 16 Years

JOB CLASSIFICATION:  Environmental Inspector – Blight Enforcement Officer

SEIU Local 517M and other relevant experience:  Wayne State University Graduate -Labor Studies, Served as Steward 2002, 2nd term President City of Detroit Units, Served as Secretary/Treasurer-Region 3, Alternate Delegate 2008 SEIU International Convention, Currently serve as Divisional Vice- President Region 3, Labor Advocate (Arbitrations, Chief Negotiator, Coalition Partner- City of Detroit Coalition of Unions), Serve on the New Solutions Advisory Committee, Advocate for Head Start units, municipalities, and our non-instructional support staff of our school units, Political activist, Community activist and Program Coordinator for SEIU Fight for a Fair Economy-Good Jobs Now! Campaign, Current Secretary of the SEIU 517M AFRAM Caucus.

Vote Now

The following candidates ran unopposed for their respective office.  These candidates will be certified by the Election/Tally Committee as the winner.

SEIU Local 517M President – Bill Ruhf

Region 3 Secretary – Chuck Bonar

John Eck

DIVISION:  State Employee Division—Technical Bargaining Unit

EMPLOYER:   State of Michigan—Department of Transportation—28 Years

JOB CLASSIFICATION:  Construction Technician

SEIU Local 517M and other relevant experience:  Steward, Technical Unit Officer & Board Member, SEIU State Council Trustee, SEIU Convention Delegate, SEIU 517M Secretary/Treasurer.

Andy Johnson

DIVISION:  School & Local Government Division—Region 1

EMPLOYER:  City of Saginaw—28 Years

JOB CLASSIFICATION:  Remote Facilities Person II

SEIU Local 517M and other relevant experience:  Served in various leadership capacities with SEIU, Current 517M Secretary/Treasurer, President of the Saginaw Municipal Employees Chapter of SEIU 517M, Region 1 Board member, 517M Executive Board member, President of SEIU 517M AFRAM (affiliate of the National African American Caucus of SEIU), President of the Central Region AFRAM Caucus providing leadership for six states of AFRAM caucuses.

Vote Now

The following candidates ran unopposed for their respective positions.  They will be certified as the winner of their election by the Election/Tally Committee.

SEIU Local 517M President – Bill Ruhf

Region 1

Divisional Vice President – Betty Nash

Secretary – Leticia Trevino

Saginaw City Schools – Cheryl Merrill, Jeanette Barnett, Roberta Oldenburg

SCCMHA – Ernie Ahmad, Valerie Toney

Buena Vista Schools – Brenda Moore

Saginaw ISD – Lashonda McGill, Sharone Harris

New Passages – Cheri Whitson, Elizabeth Merz, Jason Little

Combined at large – Kimberly Dukarski, Michael Hensler

Region 2

Divisional Vice President – Ray Clover

Vice President / Secretary – Dave Levett

Recording Secretary – Jan Goodwin

Chapter 1 – Renee Wines

Chapter 2 – Eric Campbell

Chapter 3 – Lori Haan

John Eck

DIVISION:  State Employee Division—Technical Bargaining Unit

EMPLOYER:   State of Michigan—Department of Transportation—28 Years

JOB CLASSIFICATION:  Construction Technician

SEIU Local 517M and other relevant experience:  Steward, Technical Unit Officer & Board Member, SEIU State Council Trustee, SEIU Convention Delegate, SEIU 517M Secretary/Treasurer.

Andy Johnson

DIVISION:  School & Local Government Division—Region 1

EMPLOYER:  City of Saginaw—28 Years

JOB CLASSIFICATION:  Remote Facilities Person II

SEIU Local 517M and other relevant experience:  Served in various leadership capacities with SEIU, Current 517M Secretary/Treasurer, President of the Saginaw Municipal Employees Chapter of SEIU 517M, Region 1 Board member, 517M Executive Board member, President of SEIU 517M AFRAM (affiliate of the National African American Caucus of SEIU), President of the Central Region AFRAM Caucus providing leadership for six states of AFRAM caucuses.

Vote Now

Please note that election of Technical Unit officers and board members will be done in the fall.

There is a call-in number that will get you patched through directly to your legislators. We need to you act now even if you’ve already made a call. AND, we need you to spread the word and share this number, 1-877-279-1443, with friends, family and co-workers.

Please educate your lawmakers and their staff on why private prisons are dangerous and harmful to the communities and fail to deliver on savings! Ask your legislator to oppose any bill that would privatize prisons and especially call for a “NO VOTE” on HB 5174 & 5177.