The Governor says California has promised its workers more money in pension benefits than it will have to pay them. A recent study by Stanford University put the gap at half-a-trillion dollars:

“Here in Sacramento, pension reform must be our number one priority.”

Schwarzenegger’s backing a bill by Senate GOP Leader Dennis Hollingsworth that would require most employees to work ten years longer to qualify for full retirement benefits. It would also increase the amount state workers contribute to their pensions. The changes would apply to new hires, not current employees. The Governor says the issue must be addressed this year:

“I refuse to pass this crisis on to the next Governor or to the next legislature, because if we don’t act, if we continue to sweep those problems under the rug, we’re just going to be piling more and more debt onto our children and our grandchildren.”