Governor Corzine Signs Pensions and Benefits Reform Law

On September 29, 2008 Governor Corzine signed S1962/A2818 into law (P.L. 2008 Chapter 89).  The Public Employee Pension and Benefits Reform Act of 2008 is designed to manage the shortfall between what the state takes in and what the state pays out for these benefits.  The law raises the age of retirement for new public employees from 60 to 62, raises the annual salary requirement for entering the pension system to $7,500, removes one paid holiday by combining President’s Day and Lincoln’s birthday, requires local government officials to work at least 20 hours per week to qualify for health benefits, and encourages employees to opt out of the state’s health benefit plan where they have benefits available from another source (such as through a spouse).

Note: This article was published in the November 2008 issue of the New Jersey eAuthority.