OKLAHOMA CITY- Gov. Mary Fallin has signed legislation Friday that drops the traditional pension retirement plan in favor of a 401(k)-style retirement plan.
The new bill means future state employees will no longer have a defined benefit plan. Employees will have a defined contribution plan silimar to private sector plans instead.
Current employees and retirees will not be affected by the bill.
Teachers and "hazardous duty" state workers like firefighters and law enforcement officers are exempt from the new plan, which affects employees hired after Nov. 1, 2015.
The bill aims to phase out the current pension system during the next several decades and reduce the state's unfunded pensions.