The sharp drops to the Teacher Retirement System and Employees Retirement System funds may encourage state officials to withhold cost-of-living raises for retirees next year.
The two funds pay pensions to about 115,000 former teachers, professors, school employees and state workers. Another 380,000 residents have paid into the plan but are not yet collecting a pension.
The value of the teacher retirement fund has dropped from $50.3 billion to $41.6 billion since June 30. The value of the employees retirement fund has fallen from $15.2 billion to $12.5 billion in that time.
http://accesswdun.com/article/2008/10/214552