N.J. Teachers' Union Contests Pension-Fund Change

By Karen Diegmueller

The New Jersey Education Association and the Communications Workers of America charge in a lawsuit against the state that a change in the public-employee pension formula violates contractual, constitutional, and property-rights laws.

The suit, filed last month in U.S. District Court in Newark, asks the court to stop State Treasurer Brian Clymer from administering the formula change.

Under the revised policy, which took effect July 1, the state substantially reduced the level of payments it makes to the pension system and increased workers'...