British Government swiping pensions to cut deficit.

Discussion in 'Economics' started by morganist, Mar 18, 2012.

  1. piezoe

    piezoe

    I was attempting sarcasm by turning what you wrote inside out. Apparently, i'm no good at it. :D

    But seriously, do you really want to criticize public sector compensation, I mean in general -- there are specific cases of abuse for sure -- when you consider the absurd excesses in the private sector?
     
    #21     Mar 22, 2012
  2. More likely the government will try to glom onto IRA and 401k accounts, either through a tax or just stealing them in exchange for a government pension. Such plans have already been proposed.

    In other news Storm ruger has stopped accepting new orders because they have such a huge backlog they can't meet existing orders.
     
    #22     Mar 22, 2012
  3. achilles28

    achilles28

    Thank you for the joke. Apparently it was lost me :D

    Yes, I do want to criticize public sector compensation. By most estimates, Government workers make 50-100% more than their private sector counterparts. The private sector pays for the public sector, so 3 guys have to go without, so one city postal-man, who practically lived off the dole his entire career, can enjoy a 80K pension. I'm not okay with that. I'm far more okay with an entrepreneur keeping what he earns, regardless of how much he earns, as that is fair, considering his risk and sweat equity. If Government workers get jealous, they can quit their Government job and find out how "easy" it is to make a million dollars in todays "free market" economy...lol As for the banks, brokers, insurers not being free market and a jip. I agree. But I don't believe in bailouts. Companies should be left to fail.
     
    #23     Mar 22, 2012
  4. achilles28

    achilles28

    haha Every time Mittens drops the ball, gun sales make new highs. Ya, i think nationalization of 401k's into a social security type "Treasury fund" is the endgame here. The dollar is on it's last legs, and the FED can't monetize the difference. Somebody else must be forced to "pick up the slack"...
     
    #24     Mar 22, 2012
  5. Key problem with "defined benefit" plans has been the general improvement in public health :eek:
     
    #25     Mar 22, 2012
  6. That too... However, the more general problem is the unconditional promise that is embedded in a final salary defined benefit pension. In an uncertain world, that's just inviting trouble.
     
    #26     Mar 22, 2012
  7. clacy

    clacy

    This is the crux of the problem for most 1st world governments. As workers live longer, they simply must work longer to compensate.

    We have the opposite. In the US, it's not uncommon for a public sector worker to retire at age 55. Think about that for a second. In a world where the average life expectancy for a 55 y/o is over 80. Let's assume that worker began working FT at age 22.

    That means they worked 33 years out of 80, meaning they DIDN'T work full-time for 59% of their life.

    The numbers simply can't add up to support our current public sector system.
     
    #27     Mar 22, 2012
  8. I dont understand how can people not work.

    actually studies do show that people who retire earlier have a lower life expectancy

    but it is much worse in EUROPE. don't forget how many holidays they take.:mad:
     
    #28     Mar 22, 2012
  9. morganist

    morganist Guest

    Maybe their pension should be their responsiblity in the future.
     
    #29     Mar 22, 2012
  10. achilles28

    achilles28

    Ya, exactly. Nobody finances my pension. Why should Government workers be taken care of, after they retire, at my expense? What makes them better than me? Or anyone else that works in the private sector that is forced to pay for their retirement?
     
    #30     Mar 22, 2012