The defined benefit retirement program was changed to defined contribution because the state of Alaska was going broke providing the defined benefit plan. The Legislature, with the full support of the people, changed to defined contribution, which is being done all over the U.S.
Teachers and other government employees who turn down a career because of that change are going to have a difficult time finding a career with a defined benefit plan. The DB is a sure way to bankrupt a state, and if that happens, every government employee would lose their benefits no matter what they are. So I think it would be prudent of Laura Kimmel (12/8) to be a little more realistic in her retirement program expectations.
— Bob Lewis