New Jersey Needs to Reinstate Cost-of-Living Adjustments for Retired Police and Firefighters

By Giuseppe Palmeri, Jackson Township Councilman

In 2011, under Governor Chris Christie’s administration, cost-of-living adjustments (COLA) for retirees in state pension funds were suspended through a controversial agreement with the state legislature. For the past 14 years, retired police officers and firefighters in New Jersey have faced financial stagnation, with no adjustments to account for inflation or rising living costs.

This issue has become even more alarming in the last three years, as inflation has surged to its highest levels in decades under the Biden administration. Everyday expenses—from groceries to healthcare—have skyrocketed, leaving many retirees struggling to make ends meet. It’s a grim reality for individuals who spent their careers protecting our communities, only to face financial hardship in retirement.

New Jersey Assemblyman Alex Sauickie has introduced a bill (A5175) aimed at addressing this longstanding issue. The proposed legislation would reinstate automatic COLAs for certain members of the Police and Firemen’s Retirement System (PFRS). As a Jackson Township councilman, I fully support this bill. It’s a critical step toward ensuring our retired first responders receive the financial security and dignity they deserve.

Here in Jackson, we are fortunate to have many retired police officers and firefighters among our residents. These are individuals who dedicated their lives to public service, often at great personal risk. The suspension of COLAs has unfairly penalized them, particularly in a time of economic uncertainty. Reinstating these adjustments would not only provide them with financial relief but also demonstrate that we value their sacrifices and contributions.

The argument against reinstating COLAs often centers on the state’s budgetary constraints, but we must prioritize fairness and equity. These retirees contributed to their pensions with the understanding that their benefits would keep pace with the cost of living. Reneging on this commitment undermines trust in the system and sends a troubling message to current and future public employees.

As a councilman, I remain committed to advocating for policies that benefit our residents and ensure fairness for all. I urge my fellow leaders across New Jersey to support this bill and stand with our retired first responders. They protected us for decades—it’s time we protect their financial well-being in return.