Retirement Security: A Lesson from West Virginia

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Laws can change; so can your retirement

STATE LAWMAKERS AREN'T inclined to "learn" lessons from other states, but AFT members should heed the cautionary tale from West Virginia - and take action to stop efforts to move the public sector from defined-benefit pensions to defined-contribution retirement accounts.

The lesson from West Virginia is about economic efficiency and retirement security.

Defined-benefit pensions provide retirees guaranteed monthly income for the remainder of their lives that typically is based on years of service and final average salary.

Defined-contribution retirement accounts, on the other hand, are similar to a 401(k). Retirement …