As voters head to the polls today, all eyes are on public pension measures on local ballots in San Diego and San Jose, the nation's eighth-largest and 10th-largest cities respectively. The measures both would put new hires into cheaper defined contribution retirement programs.
The San Jose proposal also would impact current employees by forcing them to choose between much higher out-of-pocket contributions to keep a defined benefit pension or switch to the cheaper defined contribution plan. The San Diego plan freezes employee pay used to calculate city pensions for six years, although the city council could override that provision with a two-thirds vote.
The measures have statewide and perhaps even national implications for the public pension reform movement as check on the electorate's mood on the issue.