© 2024 KRWG
News that Matters.
Play Live Radio
Next Up:
0:00
0:00
0:00 0:00
Available On Air Stations

Pension Deal Would Help Detroit Climb Out Of Bankruptcy

KELLY MCEVERS, HOST:

NPR's business news starts with Detroit cutting a deal.

(SOUNDBITE OF MUSIC)

MCEVERS: After days of intense negotiations, the city has reached tentative agreements with retired police officers and firefighters to preserve their pensions. Pensions of other city retirees would take a hit of 4.5 percent. They were facing a 26 percent cut.

Thousands of active and retired workers will soon vote on the plan and it'll be reviewed by a federal judge. The deal is part of a major effort by the city to emerge from bankruptcy by this fall. Last year, citing a debt of $18 billion, Detroit filed for the largest public bankruptcy in U.S. history. Transcript provided by NPR, Copyright NPR.