Atlanta Unions Sue over Pension Reforms
Two years after ordinance passed requiring them to pay more into plans
Union workers representing Atlanta fire, police and city employees have filed a lawsuit against the City of Atlanta over pension contribution hikes enacted two years ago, returning focus on pension reform that largely defined Mayor Kasim Reed's first term.
The lawsuit — filed by a handful of union workers including Stephen Borders, president of the Atlanta Professional Firefighters union — alleges an ordinance requiring employees to pay a 5 percent increase toward their benefit plans is a breach of contract and therefore unconstitutional. The plaintiffs are seeking class action status.
City officials, facing a $1.5 billion pension liability consuming about 20 percent of its annual budget, enacted the ordinance in 2011.