Pensioners approve Detroit bankruptcy plan - KMSP-TV

Pensioners approve Detroit bankruptcy plan

Posted: Updated:
DETROIT (AP) -- The city of Detroit says workers and retirees have approved pension cuts, a crucial step to emerging from the largest municipal bankruptcy in U.S. history.

The city reported results Monday after two months of balloting ended July 11. A judge still must hold a trial to determine if Detroit's overall bankruptcy plan is fair and feasible, but support from retirees is vital.

General retirees would get a 4.5 percent pension cut and loss of annual inflation adjustments. Retired police officers and firefighters would lose only a portion of the annual cost-of-living raise.

Approval of the pension changes triggers an extraordinary $816 million bailout from the state of Michigan, foundations and the Detroit Institute of Arts. The money would prevent the sale of city-owned art and avoid deeper pension cuts.

  • Download the FOX 2 Apps


  • FOX 2 News Five-Day Forecast
Powered by WorldNow

KMSP-TV
11358 Viking Drive
Eden Prairie, MN 55344

Phone: (952) 944-9999
Fax: (952) 942-0455

Didn't find what you were looking for?
All content © Copyright 2000 - 2014 Fox Television Stations, Inc. and Worldnow. All Rights Reserved.
Privacy Policy | New Terms of Service What's new | Ad Choices