The South Carolina House of Representatives approved a pension reform bill Wednesday that raises employee contributions for workers in the $25 billion South Carolina Retirement Systems, Columbia.
The bill, sponsored by the House Ways and Means Committee, increases employee contributions to 7.5% of salary effective July 1, 2013, from the current 6.5%.
It also ties annual increases in pension benefit payments to the investment performance of the plans. Retirees' pension benefit payments would increase however many percentage points the systems' five-year aggregate investment return exceeded the assumed annual rate of return of 7.5%.
Kara Brurok, budget analyst for the Ways and Means Committee, did not return a phone call by press time.