NJ Supreme Court Rules in Favor of Christie’s Position on Pensions

The Supreme Court ruled Christie can make cuts to the public employee pension system.

NJ Spotlight News | June 9, 2015 | Law & Public Safety, Politics

In a ruling Tuesday, the New Jersey Supreme Court said Gov. Chris Christie can make cuts to the state public employee pension system. The 5-2 decision reversed the lower court’s decision that the system had to be fully funded.

After the ruling was released, Christie released a statement: “This decision is an important victory not only for our taxpayers who simply cannot afford these unsustainably high costs, but for limited, constitutional government that recognizes the proper role of the executive and legislative branches of government. The Court’s position is clear, as is mine, it is time to move forward and work together to find a tangible, long-term solution to make our pension system and public employee health benefit costs affordable and sustainable for generations to come. In light of today’s decision, I urge all interested parties to come back to the table and partner with me to finally solve this problem once and for all.”

Republican Assemblyman Declan O’Scanlon issued a statement with a similar sentiment: “Now is the time for teachers and public employee unions to come back to the table to work out an agreement with lawmakers and the governor that is fair for taxpayers and workers. While this decision is definitive, it doesn’t really change much. It doesn’t remove our obligation to resolve the problem in a way that is fair to both our public workers and taxpayers. The governor has put a compelling and detailed plan on the table — designed by the bipartisan pension review commission — and signaled a willingness to be flexible. The unions walked away from the discussions. There can be no excuse now not to come back. The only way to fix this long-term problem is for people to sit down, roll up their sleeves and not walk away until we have a final plan.”

CWA-NJ Director Hetty Rosenstein expressed her disappointment in the ruling but vowed to continue the fight: “We hoped the Court would uphold the basic tenet that the law is what it says it is. But the fact that they didn’t rule for us is merely another obstacle that we will overcome. Gov. Christie broke his word, and whatever shred of credibility he had left when he refused to fund the pension. Our union will never permit the destruction of the pension system and, as such, the destruction of New Jersey’s economy. If it is unconstitutional to meet the pension obligation, perhaps we will have to change the constitution. But one thing I know is this: we will fight, and we will win.”

Americans for Prosperity State Director Erica Klemens said the decision hurts everyone in the state: “Our pension and health benefits crisis is jeopardizing the future of New Jerseyans of all walks of life, not just those workers and retirees in the public sector. The reality is no matter how the Supreme Court had ruled today; this serious crisis would not have gone away. The court rightfully noted in its ruling that a resolution to this problem cannot come about through the judicial branch. A resolution can only come about through bold leadership and action by our representatives in the legislative and executive branches. New Jersey’s pension and health benefits crisis is the challenge of our time and both lawmakers and Gov. Christie have a responsibility to rise to this challenge now. Americans for Prosperity urges all of our elected leaders to put politics aside, and begin to the work of tackling this problem once and for all lest it condemn our state and its residents to a very bleak future.”

NJTV News Correspondent David Cruz will have more on this story at 6, 7:30 and 11 p.m.