After years of calls for reform, Illinois may finally be on its way to an overhaul of the pension system. The legislature voted yesterday on a plan that would reduce benefits for new state hires. Lawmakers suggest the bill could save the state $100 billion in the coming decades and it wouldn't affect benefits for current employees. But union officials say the proposal misses the point.
Northwestern University professor Josh Rauh says the underfunding of our state pension system has created a problem too big for a quick fix. He's co-author of the study: “Public Pension Promises: How Big are They and What are They Worth?”
Professor Rauh and our business contributor David Greising discuss what it all means.