Press-Enterprise Letter to the Editor
January 31, 2014Re: EDITORIAL: Prepare now for pension avalanche
CalPERS takes seriously all decisions that impact our members and employers. The decision before our Board in February, referenced in your editorial, is the culmination of a year-long, integrated review of our assets and liabilities to achieve a sound and sustainable pension fund.
We conducted a comprehensive review of our investment portfolio and the capital markets. We also examined economic factors and demographic factors such as retirement, employment and mortality rate projections.
We recognize these decisions will impact the cost of pensions and impose temporary discomfort for some employers. In the long term it will allow for more predictability and stability in employer rates, and ensure that our fund will be healthy and sustainable for generations to come.