In a recent article in the Recorder, LCW Partner Michael Youril analyzes Assembly Bill 1383, a proposed shift in California pension policy that would partially roll back elements of the Public Employees’ Pension Reform Act of 2013 (PEPRA). The bill focuses on enhancing benefits for public safety employees by lowering the retirement age to 55, increasing pension formulas, and raising compensation caps for certain workers. While positioned as a tool to support recruitment and retention, the proposal comes at a time when public pension systems remain underfunded, raising concerns about long-term fiscal impacts.
The article highlights how AB 1383 would increase employer costs, limit agencies’ ability to revert to lower-cost pension formulas, and introduce new bargaining complexities. Although the bill has been scaled back from its original version, it still represents a meaningful policy shift away from PEPRA’s cost-containment framework. Public employers must weigh the potential workforce benefits against increased financial obligations and reduced flexibility in labor negotiations if the legislation is enacted.
View the full article here: https://www.law.com/therecorder/2026/04/15/ab-1383-could-reshape-how-attorneys-advise-public-sector-clients-on-pension-costs/?slreturn=20260416184103