NB19-23

The Effect of Government Pensions on Labor Supply, Savings, and Financial Well-Being
Jialan Wang (University of Illinois at Urbana-Champaign) and William Skimmyhorn (United States Military Academy, until July 2018, College of William & Mary (starting August 2018)

The project examines the mid-1980s transition from the Civil Service Retirement System (CSRS), which substituted for Social Security, to the Federal Employees’ Retirement System (FERS), which supplements Social Security. The reform also reweighted the system from a complete defined-benefit format to a more integrated combination of DB and DC components. The project analyzes effects on workforce participation, retirement, saving, credit and other financial outcomes. In addition to informing our understanding of how policy variations affect behavior and wellbeing, the project also speaks to the potential implications of reforms that extend Social Security coverage to state and local government workers who are currently not covered by OASDI.

OASI
Labor force participation
Measuring sources of income and adequacy
Government pensions
Labor supply
Pension reform