Some major public sector unions are rejecting Chicago Mayor Rahm Emanuel's proposed pension overhaul that would hike property taxes in the city by $250 million over a five-year period and increase the amount of money certain employees pay toward their pensions, among other reforms.

Under the mayor's proposal, city employees that are part of the Municipal and Laborers pension funds would see their contribution rise from 8.5 percent to 11 percent. Also, cost-of-living adjustments would not be compounded annually, among other changes.

Acting President of the Fraternal Order of Police Bill Dougherty told the Chicago Sun-Times that the plan would mean workers with an annual salary of $60,000 would have to kick in an additional $300 each year toward their pension. They would also have to give up cost-of-living increases for three years.

“I would never agree to something like this. The Lodge has always been willing to sit down and solve problems with the city. But, if the mayor’s only idea is diminishing our pensions and kicking the can down the road, we are not interested,” Dougherty told the newspaper.

“It’s totally against the state constitution. Your benefits cannot be diminished," he added. "There was something passed for state employees. That’s already being challenged. The mayor is rushing to get something done before that challenge comes through because he knows it’s gonna be declared unconstitutional.”

The Chicago Teachers Union (CTU) said the mayor's proposal represents a “draconian cut”.

“These people are our lunch ladies. These people are our janitors. These people are our teachers’ aides. These people live overwhelmingly on the South and West Sides of this city," CTU Political Director Stacy Davis Gates said, the Sun-Times reported. "This is a terrible deal for these people, and we intend to fight it with every fiber of our union."

SEIU* Local 73 President Christine Boardman stated that she endorses the plan's “basic constructs”. Some 10,000 SEIU Local 73 members would be affected by the measure.

“We’re in support of the increase in employee contributions. We’re in support of the Emanuel plan to try to fund it through property tax increases. The bill is going to pass. I know that. You know that,” Boardman explained. “We’re not gonna work against the bill. We’ve told that to Speaker [Michael] Madigan. We’re gonna be neutral, only because of the effect it has on retirees.”

Absent any Chicago pension reform in Springfield, the city is required to make a $600 million contribution to its underfunded police and firefighter pension funds in 2015.

The city council and the state legislature have to approve Emanuel's pension plan. 

*The SEIU Illinois Council sponsors this website.