A reader raised an interesting question recently regarding the Teacher Retirement System [TRS] and pensions for teachers:

"I have heard that when teachers apply for retirement in District 15 which must be done years in advance, they receive a 6 percent salary increase in their remaining years of service for the sole purpose of increasing their pension benefit. If they hadn't applied for retirement they would make what the union contract calls for.  If this is true I can understand why public pensions are in such bad shape in Illinois."

This is a good question about a complicated topic.

The truth is that so-called golden parachutes for teachers and administrators have been common for years in education. School districts would often boost the pay of teachers and administrators in their final few years to increase long-term pension benefits.

In June 2005 the state passed a law meant to curtail, but not eliminate, this practice. School districts still can raise salaries in the final few years before an employee's retirement, but any salary boost above 6 percent results in additional TRS costs for the district.

As for Community Consolidated School District 15, school board member Sue Quinn said that teachers who notify the district that they plan to retire in four years do receive annual 6 percent raises. She said it is part of the teacher's union contract. Administrators are not part of the union contract, but it is the general policy of the district to offer them a similar benefit.

District 15 hardly is unique when it comes to this practice. I would expect that this is standard operating procedure at most school districts in Illinois.