COLUMBUS, Ohio (AP) — Ohio’s largest pension system is considering cuts to its annual cost-of-living adjustments for retirees.
The Columbus Dispatch reports the Ohio Public Employees Retirement System is looking at limiting the cost-of-living adjustments to its current cap of 3 percent, freezing the adjustments between one to five years or lowering the 3 percent cap.
Executive Director Karen Carraher says in a memo to the Ohio General Assembly that they are considering the changes while the pension fund is healthy “so our funding remains strong.”
Carraher says the considerations are in the early stages, and retirees should not expect immediate changes. She says the process will remain open and public.
The proposals are estimated to save the pension fund $1.71 billion to $6.32 billion annually.