By John Dempsey, WLS-AM News
(CHICAGO) In a major defeat for the financially beleaguered City of Chicago, the Illinois State Supreme Court has struck down a state law that tried to cut benefits for some Chicago city workers.
The court ruled that a 2014 law Mayor Rahm Emanuel pushed through the legislature is unconstitutional, because it diminishes the value of the worker’s retirement benefits, which is forbidden by state law.
The law that was struck down today affected about 61,000 current and retired workers.
The city’s Police and Fire pension funds are also facing multi billion dollar deficits due to years of underfunding by Chicago Aldermen and former Mayor Richard M. Daley.
Thursday’s court ruling could pave the way for another massive Chicago property tax increase. Last fall, the city passed the largest property tax hike in modern history to try and address the police and fire pension shortfalls.
@2016 WLS-AM News
