A lawsuit was filed on behalf of 11 public employees who belong to the Florida Retirement System in response to a new mandate that 655,000 workers must now pay a 3 percent payroll contribution to the system, according to the Palm Beach Post News. The new legislation was the first bill signed into law by Governor Rick Scott, following approval by the state's Republican Congress.
The suit claims that the legislation is a violation of a contractual agreement with employees that has been in place since the 1970s. The payments are set to begin in July and the lawsuit is also seeking an injunction against that start date, the media outlet reports.
"They should count their blessings, and realize that the world has changed, even if the retirement system has not," Florida TaxWatch President and CEO Dominic Calabro, told Sunshine State News.
Teachers, school personnel, members of the AFL-CIO, and police are all involved in the lawsuit. Those fighting against the law believe it is unfair to make changes to a contractual agreement without proper negotiations, or ample time to make investment changes to annuities and stock portfolis to make up for the loss of retirement funding.