Retired Teachers Win Back Money

More than 9,000 retired teachers in Georgia will get lump-sum back payments as a result of a settlement in a class action lawsuit.

The basis of the lawsuit was the claim that the Teachers Retirement System of Georgia miscalculated retirement payments for beneficiaries during a six-year period between April 1998 and April 2004. The result was underpayment for thousands of retired teachers.

Determining how much the payments would be could take a couple of months. The state's Teacher Retirement System has more than $40-billion in funds.

Those to receive back payments are teachers who retired across a 20-year stretch starting in 1983.

Georgia’s Teacher Retirement System still has two other similar lawsuits pending.

Retired teachers balk at proposed pension changes

Some retired educators are upset over proposed changes to their pensions. The Teachers Retirement System of Georgia board could gain the power decide how much pension payments should increase each year. That would halt a long-standing policy that guarantees 1.5 percent increases twice a year. The governor's office suggested the change out of concern that the retirement fund won't always be as financially stable as it is now. But critics say the move would shortchange retired educators who paid into the pension plans their entire careers.

(Associated Press)