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Do Pension Cuts for Current Employees Increase Separation? (PDF)
Center for Retirement Research at Boston College 
Jan. 22, 2019 "The analysis takes advantage of a 2005 reform to the Employees' Retirement System of Rhode Island (ERSRI) that dramatically reduced the generosity of benefits for current workers.... the pension cut caused a 2.4-percentage-point increase in the rate of separation, implying an elasticity of labor supply with respect to pension benefits of around 0.25. Rhode Island teachers were significantly less responsive to the benefit cut than other occupations[.]" |
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