Your recent article quotes a report by consultants which recommends increasing New Orleans city employees salaries. The report lost all credibility when it said employees had less generous benefits. The pension alone makes their benefits out of line with private employers. If one used the 4 percent interest assumption required of private employers to value that benefit, the pension (including DROP) would cost about 50 percent of pay. When one compares to a normal private sector employer match on a 401(k), of maybe 8 percent, New Orleans public employees are overpaid already.


City Councilwoman Stacy Head, right, talks about pension reform in City Council Chambers in New Orleans, La. Thursday, April 27, 2017. Head wants to reform the New Orleans Municipal Employees' Retirement System, or NOMERS, so that benefits would accrue at a slower rate and new hires would have to work longer before being vested in the system or becoming eligible for retirement.

Sid LeBlanc