Business Council member Bond, Schoeneck & King Attorneys recently won a pension victory for public employers in New York State. The decision could impact any public employer that employs police or firefighters with Tier V pensions and also has a collective bargaining agreement that addresses non-contributory retirement plans.
In City of Yonkers v. Yonkers Fire Fighters, Local 628, IAFF, AFL-CIO, No. 48, April 2, 2013, the Court of Appeals held that unions cannot invoke the Triborough Amendment to preserve benefits under non-contributory pension plans. The court found that Section 201(4) of the Civil Service Law and Section 470 of the Retirement and Social Security Law require employees to make the required 3% pension contribution and can’t go to arbitration on the issue.