PERS Class Action to be Filed by Month's End

In mid-January, a class action complaint will be filed on behalf of PERS retirees who retired between April 1, 2000 and April 1, 2004. The class action complaint alleges that in light of the Oregon Supreme Court's decision in Strunk v. PERB, 338 Or 145, 108 P3d 1058 (2005), the PERS Board's withholding of COLA for the years 2003 to 2006 from these Tier One PERS members, constitutes a breach of retirees' PERS contracts and a violation of the Oregon wage and hour laws. In addition, the PERS Board's pursuit of collection actions against these PERS retirees for the alleged overpayment of 1999 earnings also constitutes a breach of contract, is without probable cause, and is subject to estoppel and injunctive relief. The complaint seeks plaintiff class certification for all such retirees and requests monetary damages, attorney fees, and costs. The complaint also seeks defendant class certification of all employer participants in PERS. At this time, the required 30 days notices of intent to file the class action complaint have been served on all named defendant PERS employers.