In an extremely uncharacteristic move, Gov. Jennifer Granholm actually is proposing real and radical steps to address Michigan’s staggering budget deficit. The proposal is a big, dramatic plan and although we appreciate the effort, we wish Granholm would have taken such action earlier in her term. Instead, it appears to be a last-ditch effort from a lame duck governor.
Granholm proposed several changes to retirement plans to encourage nearly 39,000 public school and 7,000 state employees to retire by the end of this year. The plan would cut vision and dental coverage if employees don’t retire by Oct. 1. Granholm estimated that the plan could save about $450 million in the first year. Michigan’s budget deficit for the fiscal year starting Oct. 1 will be at least $1.6 billion.
Although it is a good thing the governor finally is doing something substantial to fix the deficit, it’s too little, too late. After eight years of a less-than-stellar gubernatorial run by Granholm, this appears to be a weak effort to leave a lasting mark on Michigan.
Granholm is doing the right thing by getting aggressive toward the budget deficit, but it would have been nice to see her implement such a plan more gradually, earlier in her term or targeting a different group than public school employees.
We understand the benefits that can come from these actions, but to virtually force employees with 30 years or more of experience to retire in order to receive their full benefits is not the way to close the deficit, especially on such short notice.
It takes time to plan for retirement — usually more than eight months. These employees have persevered through many tough times and have stayed in Michigan through a rough financial period. To ask them to leave or risk losing key benefits is not the way they should be rewarded for their work.
It might not be wise to go after public school employees at this time, especially when the state consistently emphasizes the importance of public education. For instance, replacing older teachers with younger teachers can be a good thing, but not all at once.
If the best plan that Granholm and her aides could conceive of after eight years in office was to force public employees to retire, they could have at least implemented it several years ago, giving employees time to decide.
In addition to the legislative hurdles the plan quickly must pass, it also must find a way around another potent force: teachers unions. There is no way the budget recommendation will make its way quietly through the unions. Teachers are aggressive when it comes to dealings with their rights and benefits — rightfully so — and it would be unusual to see them curl up and let these changes slip by.
The plan might not be as effective as officials believe it will be, as it is completely dependent on the decisions of the people Granholm is asking to retire. It is highly unlikely the employees all will comply with the request and end their careers. For the most part, these are hard workers who have spent their lives doing what they love, and many probably would enjoy teaching in the future.
Granholm might be trying to force thousands of state employees to stop working, but it’s doubtful they will lie down and watch it happen.
After all, just because Granholm’s leaving her job soon doesn’t mean she should force thousands of state employees to follow suit.
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