After determining that their current retirement plan was unsustainable, the Whitefish Bay School District made a change that will keep more money in the classroom on Thursday. The district reduced post-employment benefits for new teachers and this reform will save Whitefish Bay over $2 million each year.
The district's former retirement plan came at a cost of $3 million annually to sustain, but the city had only been able to budget around $1 million of that in recent years. This change had been in the works for several years, but the district had not been able to come to terms with the local staff members over any kind of significant reform. That hurdle was removed in 2011 thanks to Act 10, which removed collective bargaining provisions from the negotiations between the school board and their teachers.
As a result, the district will save $2 million each year - money that will keep the district solvent and help keep more funding in the classroom. For the full story, click here.