Welcome to the latest edition of This Week in Pensions! We have gathered the top stories about pensions and retirement security from the previous week.
NPPC Highlight
October marks National Retirement Security Month (NRSM)—a time to shed light on the growing retirement crisis and the importance of reliable retirement tools, such as public pensions. In our latest blog, we take a closer look at the state of retirement insecurity in America and share how you can play a role in ensuring dignity in retirement for all.
Throughout the month, follow us on Facebook and Instagram as we highlight public employee stories, share key facts about the retirement crisis, and offer simple ways you can take action to defend pensions.
State News
Report Finds 42% of Younger Americans Have No Retirement Savings
A new report from Goldman Sachs underscores the growing crisis of retirement insecurity in America. The report, entitled “Retirement Survey & Insights Report 2025,” found that 42% of millennials and Gen Z workers are living paycheck to paycheck.
The survey revealed that 58% of respondents overall expect to outlive their savings, citing the widening gap between rising costs and stagnant wages. Goldman Sachs explained:
“The cost of basic needs has increased dramatically since 2000, outpacing by far the median wage growth.”
These financial pressures are preventing younger workers from building retirement savings. Millennials were the most likely generation to live paycheck to paycheck at 45%, followed closely by Gen X at 41% and Gen Z at 39%.
The report also noted that Gen Xers are especially vulnerable because they were the first generation to navigate a retirement system “largely without traditional pensions.” Without these proven retirement tools, more workers are left vulnerable to what Goldman Sachs calls the “Financial Vortex”—a combination of high housing costs, healthcare expenses, student debt, and caregiving responsibilities that can derail retirement savings.
This research adds to a growing body of evidence that highlights the critical role public pensions play in ensuring a secure retirement for millions of Americans.
Iowa DOGE Task Force Submits Report Proposing IPERS Changes
In Iowa, the controversial Department of Government Efficiency (DOGE) task force has submitted its final report to Governor Kim Reynolds, though it has not yet been made public. The report includes recommendations that could affect the Iowa Public Employees’ Retirement System (IPERS).
Earlier drafts of the recommendations raised alarm among public employees. Task force members had suggested moving away from IPERS’s proven defined benefit model to a defined contribution system for new employees—an idea met with significant pushback from workers and lawmakers. At a September meeting, task force chair Terry Lutz apologized for the confusion and attempted to clarify that the recommendation had been revised to suggest only an “ongoing study” of alternatives; however, concerns remain.
Public employees and advocates warn that introducing a defined contribution plan could undermine the stability of IPERS. Even some Republican lawmakers have signaled reluctance to pursue these changes.
Task force chair Emily Schmitt noted that the report’s recommendations are not binding, saying:
“It’s up to the elected officials and the governor to take these and put together what they think is right for Iowa and what’s right now.”
For now, the governor is reviewing the report, and the final recommendations are expected to be released soon. As always, we’ll be sure to keep you informed on any new developments.
First Responders in Mississippi Push Back on Pension Changes
In Mississippi, first responders are speaking out against recent changes to the state’s retirement system. A new plan increased the years required for retirement from 30 to 35—sparking concern among police, firefighters, and other first responders.
Retired Ridgeland Police Chief John Neal described the impact of these changes:
“Five more years to sit down and go through day-to-day. That’s 1,800 more days of death, destruction, domestic violence. And that takes its toll on you.”
Neal and other first responder organizations are urging lawmakers to consider creating a separate retirement plan tailored to the unique demands of their jobs. They are calling for a 25-year service retirement plan and the restoration of the cost-of-living adjustment that was cut under the new system.
A report by the Stennis Institute of Government shows that at least 12 other states, including neighboring Louisiana and Arkansas, already provide separate retirement funds for first responders.
Lawmakers like Sen. Daniel Sparks have expressed willingness to hear from first responders, and also raised concerns. Still, as Neal emphasized, this debate is not about elevating first responders above other public workers—it’s about recognizing the physical and emotional toll their jobs take and ensuring they can retire with dignity.
Be sure to check back next Friday for the latest in the fight for a secure retirement! For now, sign up for NPPC News Clips to receive daily pension news from across the country directly to your inbox.