California High Court Upholds Limits to Public Pension Benefits (1)

The California Supreme Court upheld provisions of a law Thursday that stops public employees from boosting their salaries before retirement with unused vacation days and other leave.

In a 7-0 ruling, the state high court said “the legislature must have the authority, discretion, and flexibility” to address problems in state and local pension systems without being required to extend the life of loopholes and opportunities for abuse for the duration of the careers of current employees.

At issue were provisions in the Public Employees’ Pension Reform Act (PEPRA) of 2013 that stopped retirement systems from counting money employees nearing ...