As per a report prepared by the, Massachusetts Taxpayers Foundation has found out that the 50 most populated communities of Massachusetts are facing a cost liability of $20 billion for retiree health care benefits. And because of such huge risk, the funds that have been allocated for local services are presently at risk.
The government of these areas will have to pay $20 billion in terms of dollar for providing lifetime healthcare benefits to close to 150,000 employees. These are retirees from these 50 communities and include names like Chicopee, Holyoke, Springfield and Westfield.
If looked at properly, then these communities are run on liabilities than are unfunded; which also means that the burden of the same will be passed over to the taxpayers. Results could be more layoffs in the municipal side.
Michael J. Widmer, president of the taxpayers’ foundation said that this is like a death march and everyone is liable here to pay something.
As per the figures provided by the report- Chicopee has a liability of $165.2 million while for Holyoke it is at $300.1 million and Springfield and Westfield have $761.5 million and $178.4 million, respectively.