While we limited government types rant against the absurdly generous public employee pensions throughout California, the city of Stockton’s collapse (and its now inevitable bankruptcy) shows a problem that is often bigger — and in this case, simply insane. This excerpt says it all:
[The problem is] “the city’s huge unfunded guarantee for health care for retired city employees, caused in part by a very generous policy that promises city workers lifetime coverage for themselves and a spouse after just one month of employment. Union leaders say the benefits are not excessive.”
Here’s the SACRAMENTO BEE‘s Dan Walters’ take on Stockton:
As Stockton struggles, so does California
http://www.sacbee.com/2012/03/04/4309782/dan-walters-as-stockton-struggles.html