The Chief: Governor vetoes transit workers’ ‘death gamble’ bill

Governor Kathy Hochul vetoed legislation last week that would have provided the beneficiaries of retirement-eligible transit workers who died before filing for retirement with full pension benefits.

Marc A. Hermann/MTA

Posted Thursday, December 19, 2024 7:47 pm

BY CRYSTAL LEWIS

A bill that would have provided full pension benefits to the families of transit workers who work past retirement eligibility but die before retiring was vetoed last week by Governor Kathy Hochul, prompting frustration from two union leaders who represent the workers.

The “death gamble” bill would have granted full pension benefits to the loved ones of employees at the New York City Transit Authority over the age of 55 who die before filing for retirement. Currently, beneficiaries are only eligible for three years of their loved one’s salary should the worker die after reaching retirement age.

Although the legislation had widespread support, passing in both the state Senate and Assembly, the governor vetoed the bill last Friday alongside three other pieces of legislation related to enhancing pension benefits for civil-service workers. Hochul noted in her veto message that all four bills would add up to $66 million in near-term costs and $13.5 million in long-term costs.

“I fully support our public employees and appreciate the vital services they provide to New Yorkers. However, I cannot sign these bills because none of them includes a funding source or plan to cover its costs in the current fiscal year or in future years,” Hochul wrote. “The aggregate cost of these bills would impose a substantial burden on New York State taxpayers.”

The bill, introduced in 2018 at the behest of the Subway Surface Supervisors Association, was sponsored by Senator Andrew Gounardes and Assembly Member Stacey Pheffer Amato. Mike Carrube, president of the SSSA, expressed that he was “very, very disappointed” by the governor’s decision to veto the legislation. 

“We deserve this, our members worked through Covid and we lost a lot of members,” he said during a phone interview. “The members, they’re staying on until 60, even 62, and they’re going strong. If you’re still working at 56 or 57, there is no option for your spouse to have a full pension payment.”

Phil Valenti, president of the Transport Workers Union Local 106, explained that his union did a lot to spearhead the legislation, including ramping up support from other unions representing transit workers such as TWU Local 100.

“I was pretty upset, I have to be honest with you. You take a person like me, who has more than 25 years on the job – if something happens to me, my wife gets a BS lump-sum of three years. It’s really a punch in the gut for all civil servants,” said Valenti, who is 62-years-old.

Although Hochul cited the cost of the bill as her reason for rejecting it, Carrube noted that it was estimated the changes would cost between $1 and $3 million. “This doesn’t cost much at all, it’s a drop in the bucket,” he said.

Carrube expressed concerns that not securing full pension benefits could act as a deterrent for workers who reach retirement age to stay on the job.

“It’s a shame we’re going to lose a lot of good, experienced workers,” he said. “Why would you sacrifice your spouse’s full pension benefits?”

In a statement, Senator Gounardes said that “This bill is about basic fairness for the transit workers who keep our city moving and our economy afloat. This bill pays for itself many times over by retaining experienced transit workers and giving their families the support they need to thrive in our city. I’m disappointed by the veto and will keep fighting to support workers and their loved ones.”

New York City police officers, firefighters and teachers, as well as Nassau County and Suffolk County correction officers, are among the public employees who currently have “death gamble” benefits. However, the governor vetoed a similar “death gamble” bill that would have granted full pension benefits to the loved ones of Westchester corrections officers and wardens in late 2022, also citing costs as the primary reason for her decision to veto the legislation.

“I firmly believe that she should have passed all death gamble bills because it’s what’s right,” Valenti said. “Most of us [transit workers] work past retirement.”

He added that the fight to secure “death gamble” benefits wasn’t over.

“We’ll join together with all of the transit unions to work together to get this bill passed,” Valenti said. “It’s unfortunate that we got knocked down, but we’re not done yet.”

clewis@thechiefleader.com

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