Pension and Benefit Crisis
New Jersey has a pension and benefit crisis. We have the worst-funded public pension system in the nation. Our unfunded retiree liabilities are $190 billion – five times the size of the state’s annual budget and a fiscal disaster waiting to happen. Using its unmatched political clout over decades, the NJEA structured the New Jersey’s pension and benefit system we have today. While the NJEA wants to blame the crisis on elected politicians, the facts show that the NJEA participated in schemes and pension raids that undermined the pension system and gained “platinum-plus” health benefits for its members at little or no cost to them. The NJEA knowingly acquiesced to underfunding while constantly pushing for enhanced benefits, and has successfully blocked the many attempts to reform the system before it was too late. The NJEA deserves the primary blame for New Jersey’s pension crisis.