CBS 5 - KPHO Judge overturns Arizona pension law change

Judge overturns Arizona pension law change

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PHOENIX (AP) -

A judge has struck down an Arizona law that increased the amount state employees must contribute toward their pensions as unconstitutional.

 

 

Maricopa County Superior Court Judge Eileen Willett wrote in a Friday ruling that a state law that went into effect on July 1 illegally changed the contract between the state and its employees.

The law increased the contributions state employees must make to their pension from 50 percent to 53 percent.

The Arizona Republic reports the change was made as a cost-cutting move intended to state $60 million a year.

Seven schoolteachers sued.

An Arizona State Retirement System spokesman says the organization will review the decision and its options before deciding whether to appeal.

Copyright 2011 Associated Press. All rights reserved.

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