Illinois may revamp its Tier 2 pension system to better align with Social Security, at a potential $5 billion cost.

Illinois lawmakers are considering changes to the Tier 2 pension system for government employees hired after 2011. The system, established in 2010, does not meet federal requirements for aligning with Social Security benefits. Proposed changes include increasing salary caps and providing a cost-of-living adjustment to improve benefits and make the system more attractive to public employees. The changes could cost at least $5 billion.

3 months ago
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