COLUMBUS, Ohio — After nearly 40 years in public education, Patrick Godwin spends his retirement days running a horse farm east of Sacramento, Calif., with his daughter.
His departure from the workaday world is likely to be long and relatively free of financial concerns, after he retired in July at age 59 with a pension paying $174,308 a year for the rest of his life.
Such guaranteed pensions for relatively youthful government retirees — paid in similar fashion to millions nationwide — are contributing to nationwide friction with the public-sector workers. They have access to attractive defined-benefit pensions and retiree health care coverage that most private-sector workers no longer do.
Experts say eligible retirement ages have fallen over the past two decades for many reasons, including contract agreements between states and government labor unions that lowered retirement ages in lieu of raising pay.
With Americans increasingly likely to live well into their 80s, critics question whether paying lifetime pensions to retirees from age 55 or 60 is financially sustainable.
An Associated Press survey this year found the 50 states have a combined $690 billion in unfunded pension liabilities and $418 billion in retiree health care obligations.
Police and firefighters often can retire starting even younger — around age 50 — because of the physically demanding nature of some of those jobs.
Yet with cities, counties and states struggling to pay pension bills, changes are afoot.
In November, San Francisco voters supported a local ballot initiative to hike minimum retirement ages for some city workers. Since that time, laws increasing retirement ages for government workers were signed in Rhode Island and Massachusetts in efforts to address underfunded pension systems.
Earlier in New Jersey, part of a legislative deal struck between Democrats and Republicans raised the normal retirement age from 62 to 65.
An initiative circulating for California’s 2012 state ballot seeks to increase the minimum retirement age to 65 for public employees and teachers, and to 58 for sworn public-safety officers.
Godwin said all the antagonism toward public retirees is misplaced. His pension payout follows 36 years as an English teacher and school administrator in California, with two years’ sick-leave credit added for never being absent.
He said lack of accountability on Wall Street and exorbitant corporate salaries are a more justified target of the public’s anger.
“Those things I think are a much larger problem than what a public employee is making as a pension,” he said.
Numbers
$690 billion How much the 50 states combined have in unfunded pension liabilities, according to an Associated Press survey
29% Percentage of people ages 65 to 69 who worked at least part time last year, up from 24 percent a decade ago
7% Percentage of people 75 and older who were employed in 2010, compared with less than 5 percent 15 years ago
Most public plans offer early retirement
Three-quarters of U.S. public retirement systems in 2008 offered some kind of early-retirement option paying partial benefits, according to a 2009 Wisconsin Legislative Council study. The minimum age for most of those programs was 55, but 15 percent allowed government workers to retire even earlier, the review found.
