Across Pennsylvania, thousands of retired teachers in their 80s and 90s received welcome news in the mail last week, as the state reached out to its older pensioners to tell them they’d be getting significant increases in their monthly benefits.
The raises were earmarked for teachers and other public servants, including law enforcement officers and firefighters, who retired prior to July 1, 2001. The first of their new, bigger checks will arrive Sept. 30.
In Lancaster County alone, the cost-of-living raises included in the 2026-27 state budget will put more than $4 million a year in the pockets of more than 1,200 retired teachers, according to state estimates.
As the Watchdog first reported in May, when unions were lobbying for the pension increase, the General Assembly enacted Act 9 reforms in July 2001 that increased by 25% the pensions of teachers and state government employees covered by the State Employees’ Retirement System.
So, for example, a teacher who worked 30 years and retired before the Act 9 reforms were enacted receives a pension equal to 60% of their annual salary at retirement, whereas a teacher with the same 30 years in the classroom who retired post-Act 9 receives 75% of their annual salary.
The most recent state budget equals out that disparity a bit, giving pension increases of 15% to 25% to pre-Act 9 retirees, whose average annual pension benefit had been less than $20,000, according to Chris Lilienthal, spokesman for the Pennsylvania State Education Association.
The new cost of living adjustment for a retiree with a pension benefit of $18,000 would be worth an extra $225 to $368 a month, depending on retirement date. Those who retired earlier get more.
The state teachers union was among the groups behind a concerted lobbying campaign to move the Legislature on the pension issue.
“We had Student PSEA members still in college studying to become teachers who were advocating for a cost-of-living adjustment for our pre-Act 9 members,” Lilienthal said Thursday.
In May, Lilienthal said taking care of pre-Act 9 retirees represents an important first step toward fairer pensions for all retired teachers. Step 2, he said, would involve building regular cost-of-living increases into law for all state pensioners.
Such an increase would benefit guys like Joel Moore, the 81-year-old retired schoolteacher in Caernarvon Township who retired in 2011 and first brought the cost-of-living issue to the Watchdog’s attention.
Moore said Friday that he was happy for his fellow pensioners and hopeful for further changes. He said he would like to see rank-and-file state employees and retirees get the same annual cost-of-living increases as elected officials.
“What’s good for the goose is good for the gander,” Moore said.
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