Carlos Osorio, Associated Press
It is apparent that Detroit will be filing for bankruptcy to become the largest U.S. city to date that has itself in financial difficulty. It's time for all cities to review their position with their employees and their unions and get off the gravy train in order to set realistic retirement funds and other perks that are not available in the private sector.
When you pay city employees pensions with only 20 years of service, you have a problem. I understand there are cities that pay their teachers and other positions over $100,000 a year in pensions. You don't have to go too far (Nevada and California) to see higher prices on food, gas and other basic needs because of pension programs. Why is Wal-Mart successful in the marketplace when they pay minimum wages compared to Smith's and other local business?
If cities would spend and save like private families, we wouldn't be in this predicament. All forms of government are supported by tax dollars (yours and mine) and we would like to see that money spent in a positive fashion.
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