San Jose workers dispute pension cost claims

April 12, 2011 8:58:33 PM PDT
San Jose workers are disputing claims that skyrocketing pension costs are to blame for the city's deficit. City workers gathered for a standing room-only forum where they were told San Jose's pension crisis is a myth. Union leaders urged workers to call on elected leaders to find alternate solutions to close the budget gap.

"These folks dedicated years of their life to public service for the community, they're going to retire and get a pension about 50-percent of pay, no social security," said Dan Doonan, an ASCME labor economist.

"We have to find a way to makes it more sustainable because currently closing libraries and laying off police officers is not a good alternative," said San Jose City Council Member Pierluigi Oliverio.

Mayor Chuck Reed says the numbers don't lie, and insists they show San Jose's $105 million deficit is mostly due to increased pension costs.