Report: Cut retirement to pay for weaponsBy Rick Maze - Staff writer
Posted : Friday Oct 23, 2009 5:52:47 EDT
A new report from an independent think tank suggests that drastic cuts are needed in personnel benefits in order to pay for weapons modernization.
Some recommendations from the Center for Strategic and Budgetary Assessments might be welcomed by service members and their families, such as a proposal to cut the cost of permanent change-of-station moves by extending tour lengths by 50 percent.
But other recommendations strike at the heart of the military pay and benefits system. The report by Todd Harrison says the promise of retired pay after 20 years is an example of the generous benefits that led to financial problems in the auto industry, requiring a government bailout.
“Few employers today offer pensions and health care benefits for retirees, must less a package that becomes effective after only 20 years of service,” Harrison wrote. “Even GM’s much-derided labor contracts did not provide benefits this rich.”
Harrison said big reductions in benefits, such as requiring more service to earn retired pay and charging more for health benefits, are “politically difficult” but that modest changes, if begun soon, could help control costs.
Rest of article about this pre-emptive strike on Veterans Benefits at:
http://www.armytimes.com/news/2009/10/military_benefitscuts_report_102209w/