RI Judge Hands Unions a Victory in Pension Suit

PROVIDENCE, R.I. (AP) – In a key victory for unions and public workers, a Rhode Island judge has ruled that pension benefits amount to an implied contract between the state and its employees.

Tuesday's decision by Superior Court Judge Sarah Taft-Carter allows eight public-worker unions to proceed with a lawsuit that seeks to block recent pension reductions.

The ruling is certain to complicate an ongoing political debate over the ballooning costs of public pensions. The state's General Assembly has scheduled a special legislative session for next month to tackle pension reform.

The unions sued after lawmakers voted to raise retirement ages and reduce pension benefits in 2009 and 2010. The state had asked the judge to dismiss the case, arguing that the law does not
establish a contractual relationship guaranteeing pension benefits.

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