Legislation, continued
Richman’s plan would require use of private money managers—e.g., CalPERS could not manage the DC plan. (This provision may have been dropped.)
Richman’s staff may be developing a separate bill that would create plans that would have a dollar-for-dollar match on up to 10% of employee pay. (P&I, 12/6/2004)
The DC plan would eliminate disability retirements and death benefits provided by DB plans.
A DC plan would provide no protection against inflation.