Pittsburgh’s Municipal Pension Fund Overpaid 78 Former Employees a Total of $78,178 in Interest over the Past 13 Years, Pension Board Members Said Thursday. the Board Now Has to Decide If They Can Recoup Payments Ranging from $20 to $10,000 from Former Nonunion Employees Who Took Lump Sum Payouts of Pension Contributions While Working for the City. Members Are Seeking a Legal Opinion from Their Solicitor and Said They Plan to Address the Issue during a Meeting in April [Derived Headline]

By Bauder, Bob | Tribune-Review/Pittsburgh Tribune-Review, March 15, 2018 | Go to article overview

Pittsburgh’s Municipal Pension Fund Overpaid 78 Former Employees a Total of $78,178 in Interest over the Past 13 Years, Pension Board Members Said Thursday. the Board Now Has to Decide If They Can Recoup Payments Ranging from $20 to $10,000 from Former Nonunion Employees Who Took Lump Sum Payouts of Pension Contributions While Working for the City. Members Are Seeking a Legal Opinion from Their Solicitor and Said They Plan to Address the Issue during a Meeting in April [Derived Headline]


Bauder, Bob, Tribune-Review/Pittsburgh Tribune-Review


Pittsburgh’s Municipal Pension fund overpaid 78 former employees a total of $78,178 in interest over the past 13 years, pension board members said Thursday. The board now has to decide if they can recoup payments ranging from $20 to $10,000 from former nonunion employees who took lump sum payouts of pension contributions while working for the city. Members are seeking a legal opinion from their solicitor and said they plan to address the issue during a meeting in April.

“We’ll see what the solicitor comes back with,” said board President John Sibbet. “Ultimately, the money is owed to the pension fund. Depending on what they come back with, we are obligated to try to collect it.”

The board discovered the error late last year and stopped paying interest to retirees who were not members of a union.

Prior to 2004, the city paid interest on employee contributions to the invested portion of its three retirement plans.

Employees contribute 4 percent to 5 percent of their salaries to funds covering retired police officers, firefighters and municipal workers. Employees who leave before they are pension eligible can seek repayment of cash they contributed to the plans.

City Council in 2004 amended its pension ordinance form municipal employees to exclude nonunion employees from collecting interest after Pennsylvania classified Pittsburgh a distressed city. …

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Pittsburgh’s Municipal Pension Fund Overpaid 78 Former Employees a Total of $78,178 in Interest over the Past 13 Years, Pension Board Members Said Thursday. the Board Now Has to Decide If They Can Recoup Payments Ranging from $20 to $10,000 from Former Nonunion Employees Who Took Lump Sum Payouts of Pension Contributions While Working for the City. Members Are Seeking a Legal Opinion from Their Solicitor and Said They Plan to Address the Issue during a Meeting in April [Derived Headline]
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