Detroit’s municipal workers have agreed to pension cuts. Is this a model for other cash-strapped governments?
Detroit’s municipal employees and retirees made headlines last week when they accepted a pension cut to help reduce the city’s debt. Is this agreement a game-changer, as some contend? Now that some retirees have agreed to forgo already earned pension benefits—once considered sacrosanct—will unions across the country follow suit? Don’t count on it.