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New Law Revokes Portion Of Retirement Benefits From Convicted Public Employees

A new law signed Wednesday will strip some public employees convicted of a crime of a portion of their pensions or 401(k).

The law, signed by Governor Synder, targets public employees who have convicted of a crime related to their work, including taking bribes and misusing funds.

The old law allowed for forfeiture of public employees’ retirement benefits if they misuse funds or take bribes.

The new law mandates those forfeitures.

Convicted public workers will also lose a portion of the benefit contributed by the employer including earnings on those contributions.

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