PA-BGT: Mayor Peduto Criticizes Gov. Wolf’s Pension Plan

wolf-sadWhen you’re in the midst of a budget fight, it’s important to keep your ranks united.

Governor Wolf just suffered a breach.

While Pittsburgh Mayor Bill Peduto isn’t a member of the legislature, he still leads PA’s second-largest city and his recent comments to the Tribune-Review may cause the Gov some headaches.

Peduto supports moving to a pension system similar to a 401(k), citing Pittsburgh’s troublesome pension history.

“Pittsburgh should be the litmus test showing that’s [Wolf’s proposal] not the solution,” he told the Tribune-Review.

“The bill the Republicans put forth was one that we could support,” the Mayor stated.

This is a major public relations victory for the GOP, seeing as Governor Wolf has already vetoed their pension plan.

Peduto supported Wolf during the Democratic primary last year so there’s no old grudge between them. Therefore, having such a prominent progressive leader critique his actions is a sharp blow to the Governor.

17 Responses

  1. Peduto is no better than his last 3 predecessors. Luke finished off what Murphy screwed up as well as Masloff.
    Pittsburgh is a 1st class slum.

  2. Aaron you’re full of horse crap, switching to defined contribution retirement plan greatly weakens the solvency of the current pension plan as no new money will be coming into the system. This is all about giving more money to invest bankers.

  3. Governor Wolf takes no salary. Available 24/7 to negotiate a State Budget. Turzai gets paid big bucks, Cadillac Insurancel plan, per Diems, and a DEFINED PENSION PLAN THAT IS GRANDFATHERED if the State goes to a 401 system. Like playing poker with someone else’s money. Then in the middle of negotiations he takes a two week junket to Israel. Only thing he loses is his Per Diems. Imagine that ! Then the GOP SAYS THE GOVERNOR IS NOT NEGOTIATING IN GOOD FAITH ! Another Fantasy Story by the GOP.

  4. Good for you Mayor, it’s nice to see an elected Democrat speak without some union guy’s lips move.

    You can’t pay people as much to stay home as you pay them to work.All those great retirement benefits cost us jobs TODAY. Until this state goes Right to Work and the public unions lose their teeth ala Ohio, Indiana & Wisconsin; we will continue to lose working people and businesses. Unions are great for the 10%, but that greatness comes at the expense of the other 90%. Governor you are a butt.

  5. Jules – you could not be more incorrect. A defined contribution plan (ie 401k) only requires the state to put up a percentage match at most – there would be no future liability on the books like there currently is with a defined benefit pension plan. And the gop plan would only require new employees to be in a 401k plan. Current employees would not be effected. Switching to a 401k system would prevent the state from defaulting on future obligations. I applaud the gop leadership for doing the right thing.

  6. Switching to a 401(k) plan from a defined benefit plan would cost the state more money and not solve the financial crisis and would provide fewer benefits than that promised to our workers. That’s why states that did that are switching back. The state promised its workers certain compensation for doing their jobs as long as the employees contributed every paycheck. The employees did so. The state did not. This is a moral issue in which the state needs to come through on promises made to the people who keep the state running. I applaud Governor Wolf for his stand on this.

  7. I see the beer an wine on those shelves at giant eagle. There is dissension in the ranks.

  8. Why is the huffpost article not a separate story on this site in and of itself – wolf ranked the most liberal guv in the usa – I see a story about a congressman’s dog but not this?

  9. To Our Governor:

    Regarding legalization of marijuana, I respectfully suggest reading Larry’s letter before pushing this one through. Please let Larry’s mastery of the English language, as well as his persuasive arguments extolling the virtue of legalization, serve as the perfect example that marijuana does nothing to enhance one’s contributions to society.

    Larry, if you are having a hard time understanding all of the words up there, I basically said that guys who smoke pot before they post on a public blog, probably aren’t the best people to convince other people (like governors) to legalize weed. But you won’t ever see this, because you won’t be able to find this website ever again.

    Peace out…

  10. to our governor
    gov wolf this is my plan, let the people vote on how to fix our troubled plan if i were in the house would be legalize,marijuana though the state.every day hundreds have there records scared for life.norm posted the state plan a few months ago,it can and would work with a little this day in age legalizing prostitution.i,m sure i,m not allow, this plan my not be what every one wants,but taxs will not make it when the state is running in the red with jobs and a healthy worked in western ,pa in a small town with all the big city garbage,dumping fees.that small town never seen so much cash.legalizing pot and ladys of the night would put our great state in the cash pool of wealth in one year,i live in monroe county,and our road sides look like a land fill,we have roads that our deplorable state owned road that have been let go for 20 years that i have lived here.monroe looks like a third world country.the state could find funds to put people back to work for a few weeks cleaning up this land fill.if your in the area have MARIO TAKE YOU ON A TOUR, this is what i see and every tourist. sees to,he can tell all the good he has done.he did get the wheels take a look at Washington, Colorado,and look at the cash flow,let the people vote,after reading the plans.its almost like shaking the money tree.taxs our not going to work,i,ve gave this area 20 years of my life,and if we do not move on this fast other state will.they will be the winners.the new drugs of choice out heron.witch is killing our teens.keep up the great job.thanks

  11. Truth be told – last time I checked, the house and senate presented a budget on time and with no tax increases and a responsible pension reform bill to wolf, both of which he vetoed. The onus is on wolf to get the budget done. Bill – the mayor is just the first of many prominent Dems who will end up criticizing the guv in the weeks and months to come. Get used to it.

  12. F Peduto, he’s just another Corporate DLC Democrat. Anyway that has really looked at the pension issue knows moving all new employees to 401k, knows that doing weakens the solvency of the of the states current pension plans.

  13. The republican leadership team lead by Speaker Turzai is going to Israel for a junket the next 2 weeks … I guess we won’t be having budget talks during this time. Some one needs to ask Turzai why he is going on a junket with the State Legislative Leaders Foundation while we have no state budget. This smells on the good ole days when pay raises were passed in the night!

  14. Nick

    You wrote: “Peduto supported Wolf during the Democratic primary last year so there’s old grudge between them.”

    I think you meant: “no grudge”

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