From the NY Post:
The city is sinking into an $100 billion hole of soaring employee pension and health care costs.
According to the city’s latest annual financial report, New York City’s five pension funds, including those for teachers, police officers and firefighters, are short nearly $40 billion on their future obligations to current workers and retirees. And that’s based on highly optimistic — some say “delusional” — calculations that the city will somehow earn at least 8% a year on its investments going forward.
In a double whammy, the report also lists $65.5 billion in unfunded but locked in future health care costs for current city workers and retirees, bringing the shortfall to a staggering $105.4 billion.
In New York, like elsewhere nationwide, the dilemma is similar: Government employee benefits have improved while investment earnings have collapsed. Taxpayers are forced to dig deeper to plug the gap.