Retired State Workers to See Drop in Payments - WAOW - Newsline 9, Wausau News, Weather, Sports

Retired State Workers to See Drop in Payments


MADISON (AP) -- Monthly payments to retired state workers will be dropping for a third year in a row.

The Department of Employee Trust Funds announced Wednesday that monthly payments to investors in the Wisconsin Retirement System's Core Fund will drop 1.2 percent a month starting in May.

All of the 156,000 people in the system get at least half of their pension in a Core Fund annuity.

The decrease comes after payments dropped 1.3 percent last year and a 2.1 percent drop the year before.

The fund's investments are still recovering from a more than 26 percent drop in 2008.

Returns are smoothed out over a five-year period.

About 35,000 retirees participate in the system's Variable Fund and they will see an 11 percent increase in that portion of their annuities.

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