SPRINGFIELD, Ill. (AP) — The Illinois Supreme Court forced the state Friday to find another way to fix the nation’s worst government-employee pension crisis, ruling lawmakers “overstepped” by enacting a law that slashed retirement benefits to confront a massive budget deficit.
In a unanimous decision that frequently scolded state policymakers, the seven justices declared that the measure former Democratic Gov. Pat Quinn signed into law 18 months ago violates the state constitution because it would leave pension promises “diminished or impaired.”
The cash-strapped state now must again grapple with a $111 billion deficit in what’s necessary to cover its employee retirement obligations. The hole is so deep the state has in recent years had to reserve up to $7 billion — or one-fifth of its annual operating funds — to keep pace.
