State workers will pay into pension fund

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State and university workers will soon begin making small contributions to their pensions to make up for money Wisconsin's retirement fund lost when the market collapsed two years ago.

Right now the state pays the entire employee contribution to the pensions of most state and university workers. That will change in January 2011, if only in a small way.

Most state workers will have to pay 2/10 of one percent of their retirement contributions. For an employee making about $40,000, that amounts to about $80 each year.

An independent actuary proposed the changes, and the Employee Trust Funds Board approved them. They fall within the guidelines agreed to in the last state employees’ contract.

Marty Biel, the director of the largest state employees union, says his members are okay with the changes. He says what bugs his members is that while they’re paying more, about 1,400 employees who are either executives or elected officials still won’t pay anything to their pensions under these changes.

Tags: wisconsin, education, government