DETROIT — Pension cuts are kicking in for roughly 12,000 city of Detroit retirees.
The 4.5 percent reduction is a result of Detroit's bankruptcy. Pension fund spokeswoman Tina Bassett tells the Detroit Free Press (http://on.freep.com/1AjNVEi ) that about 1,450 retirees with very low incomes have qualified for financial help from a separate fund. Some people will get as much as $180.
The retirees are also losing annual cost-of-living payments. Separately, police and fire retirees will see a reduction in their cost-of-living payment but not their pension.
The city says the cuts would have been worse if not for an $816 million rescue arranged by the state, foundations and the Detroit Institute of Arts. Detroit emerged from bankruptcy in December.
Information from: Detroit Free Press, http://www.freep.com
All content copyright ©2015 Daily Journal, a division of Home News Enterprises unless otherwise noted.