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State Supreme Court Upholds State Retirement Reforms

NHPR Staff

The New Hampshire Supreme Court has upheld some legislative reforms to the state retirement system, a month after upholding key provisions.

The court on Friday upheld changes to the definitions of "earned compensation" and Cost of Living Adjustments. It ruled the changes didn't retroactively reduce pension benefits earned before a law was passed, and that employees don't have a contractual guarantee that the terms of the plans will never change.

The ruling addressed a lawsuit by the American Federation of Teachers.

State Sen. Jeb Bradley of Wolfeboro said the decision clarifies the Legislature may adjust future pension benefits to safeguard the system.

The New Hampshire Retirement Security Coalition made up of teachers, police and firefighters, said it "unfortunately allows public employers to renege on their promise of security in retirement."

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