The reformers realize that today's system of relying on current workers to pay for the benefits of current retirees -- pay-as-you-go -- will not remain viable as the baby boomers retire, because if retirement patterns stay as they are, there will be only two workers supporting every one retiree.
Talks stalled last fall on legislation that would have required current workers to pay more or accept a lower benefit.
Cisco, based in San Jose, Calif., has said it will not hire new employees until its current workers produce, on average, $700,000 a year in revenue.
Southern California's supermarket chains have reacted by demanding a two-year freeze on current workers' salaries and lower pay for newly hired workers, and they want employees to pay more for health insurance.
When asked to choose just one proposal to reduce the program's deficit, 37 percent said they supported higher taxes on current workers, and 22 percent supported increasing the premiums paid by current recipients.
While some of the public sector pension and health benefits come from the savings of retirees, many of these benefits must be funded by taxes on current workers.
Because of New York's constitutional limits on changing current workers' pensions for the worse, Mr. Cuomo is proposing increased pension contributions for new employees only.
Many current workers have had extremely low returns on their savings because of annual fees of 2 percent of assets or more.
On the picket line, workers often grow furious as they discuss the concessions demanded by management: a two-year freeze on raises for current workers, a requirement that workers pay $780 in annual premiums for family health coverage, and a cap on annual employer health contributions, which would most likely cause a decrease in benefits.
The import factories spend less on health insurance for current workers because the workers contribute.
