Eliminating Pension Spiking

Prior to the Goldwater Institute’s lawsuit, pension spiking costs Phoenix taxpayers millions. As a result of the new contracts that eliminate pension spiking among public safety employees, taxpayers will save an estimated $233 million over 25 years – a savings of nearly $10 million a year.

Following the contract changes that ended pension spiking in Phoenix, government unions sued the city, claiming that the contract changes were unlawful. The unions requested that the Court restore the provisions that were removed as a result of Goldwater’s taxpayer lawsuit.  Those provisions violate the plain language of state law. So the unions are requesting that the Court order the city to reinstate clearly illegal contracts.