As reported by nj.com, hundreds of thousands of retired public employees are not entitled to cost-of-living adjustments, a Superior Court judge has ruled, upholding a segment of the new pension regulations that suspend the increases indefinitely. The ruling by Superior Court Judge Douglas Hurd affects all current and future retirees in pension systems funded by the state, including police, firefighters, teachers, judges, and their local counterparts who are in those systems.

In changes to the state’s pension laws effective last June 28, the Legislature said current and future retirees will not get cost-of-living adjustments to their pensions until the systems reach their “target funded ratios.” Many of the unions representing retirees in those pension systems challenged the new law, first in federal court, where the case was dismissed in March because the court did not have jurisdiction. They claimed the new law denies them a portion of their pension for which they have already paid.

Hurd, however, ruled the Legislature has the right not to fund the pension system. The law affects some 800,000 retirees in the Teachers Pension and Annuity Fund (“TPAF”), the Judicial Retirement System (“JRS”), Public Employees’ Retirement System (“PERS”), Police and Firemen’s Retirement System (“PFRS”), and State Police Retirement System (“SPRS”).

Governor Chris Christie praised the outcome. “We are gratified that our common-sense position has been upheld in Superior Court and we are confident it will be upheld upon appeal,” said Michael Drewniak, a spokesman for Governor Christie. “Our goal remains to reform, protect, and sustain the state pension system so it will be there for all current, retired and future employees. At the same time, any bipartisan reform, including the COLA provision, stands to save New Jersey taxpayers tens of billions over the long term.”

Tags: Articles, benefit reform, COLA, Governor Christie, pension COLA, pension reform, retirees
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Photo of Donald C. Barbati Donald C. Barbati

Donald C. Barbati is a shareholder of Crivelli, Barbati & DeRose, L.L.C. His primary practice revolves around the representation of numerous public employee labor unions in various capacities to include contract negotiation, unfair labor practice litigation, contract grievance arbitration, and other diverse issues…

Donald C. Barbati is a shareholder of Crivelli, Barbati & DeRose, L.L.C. His primary practice revolves around the representation of numerous public employee labor unions in various capacities to include contract negotiation, unfair labor practice litigation, contract grievance arbitration, and other diverse issues litigated before the courts and administrative tribunals throughout the State of New Jersey. In addition, Mr. Barbati also routinely represents individuals in various types of public pension appeals, real estate transactions, and general litigation matters. He is a frequent contributor to the New Jersey Public Safety Officers Law Blog, a free legal publication designed to keep New Jersey public safety officers up-to-date and informed about legal issues pertinent to their profession. During his years of practice, Mr. Barbati has established a reputation for achieving favorable results for his clients in a cost-efficient manner.

Mr. Barbati has also handled numerous novel legal issues while representing New Jersey Public Safety Officers. Most notably, he served as lead counsel for the Appellants in the published case In re Rodriguez, 423 N.J. Super. 440 (App. Div. 2011). In that case, Mr. Barbati successfully argued on behalf of the Appellants, thereby overturning the Attorney General’s denial of counsel to two prison guards in a civil rights suit arising from an inmate assault. In the process, the Court clarified the standard to be utilized by the Attorney General in assessing whether a public employee is entitled to legal representation and mandated that reliance must be placed on up-to-date information.

Prior to becoming a practicing attorney, Mr. Barbati served as a judicial law clerk to the Honorable Linda R. Feinberg, Assignment Judge of the Superior Court of New Jersey, Mercer Vicinage. During his clerkship Mr. Barbati handled numerous complex and novel substantive and procedural issues arising from complaints in lieu of prerogative writs, orders to show cause, and motion practice. These include appeals from decisions by planning and zoning boards and local government bodies, bidding challenges under the Local Public Contract Law, Open Public Records Act requests, the taking of private property under the eminent domain statute, and election law disputes. In addition, Mr. Barbati, as a certified mediator, mediated many small claims disputes in the Special Civil Part.

Mr. Barbati received a Bachelor of Arts degree in history, magna cum laude, from Rider University in Lawrenceville, New Jersey. Upon graduating, Mr. Barbati attended Widener University School of Law in Wilmington, Delaware. In 2007, he received his juris doctorate, magna cum laude, graduating in the top five percent of his class. During law school, Mr. Barbati interned for the Honorable Joseph E. Irenas, Senior United States District Court Judge for the District of New Jersey in Camden, New Jersey, assisting on various constitutional, employment, and Third Circuit Court of Appeals litigation, including numerous civil rights, social security, and immigration cases.

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