Pension case headed to Supreme Court

On Wednesday, Nov. 28, Attorney General Lisa Madigan notified the Illinois Supreme Court she would appeal a Sangamon County Circuit Court judge’s ruling that struck down legislation that would have slashed the pensions of active and retired members of the State Employees Retirement System (SERS), State Universities Retirement System (SURS) and Teachers Retirement System (TRS). (UPDATE: On Wednesday, Dec. 3, the Attorney General filed the appeal.)

Madigan’s filing came one week after Circuit Court Judge Belz ruled in favor of motions made by the We Are One Illinois union coalition, of which AFSCME is a leading partner. Belz’ ruling declared the pension-cutting law, passed as SB 1, “unconstitutional and void in its entirety” and placed a permanent stay on its implementation.

Belz agreed with the We Are One Illinois coalition’s argument that the state constitution’s pension protection clause – which holds that retirement benefits cannot be “diminished or impaired” – cannot be violated. The state had argued, unsuccessfully, that its “police powers” allowed it to ignore the constitution’s language in order to address the state’s fiscal woes.

In his decision, Belz relied heavily upon the Supreme Court’s ruling earlier this year in a case on retiree health care benefits. That ruling indicated a bipartisan majority on the court believes the pension protection clause is absolute.

The Attorney General’s office has asked the Supreme Court to rule as quickly as possible on the case.

“While we are disappointed the Attorney General has chosen to pursue an appeal, we remain confident in the strength of our argument,” AFSCME Council 31 Executive Director Roberta Lynch said. “The Circuit Court ruled decisively in favor of frontline public employees and retirees and we are hopeful the Supreme Court will do the same.”