Ingham Country Circuit Court Judge Joyce Draganchuk heard oral
arguments this week regarding the constitutionality of a new law requiring 4 percent
of state employees’ pay to remain in the pension system. The Coalition of State
Employee Unions brought the case, stating that the law violated the Civil
Service Commission’s authority, as did the 3 percent contribution for retiree
health care.
Attorneys for the State argued that the new law differs, though,
in that it is not mandatory. Those state employees who do not want to pay the
4-percent do not have to – they can convert to a defined contribution plan for
the remaining years of their state employment.
Judge Draganchuk has said she will issue a written ruling.