Chicago Public Schools lays off 1,400 so it can make pension payment

Dirksen School, Chicago's
Northwest Side

In order to make a massive pension payment today, Chicago Public Schools announced it will have to lay off 1,400 employees. Even before these firings there were already more retirees collecting pensions than current workers paying into the pension system. If that sounds unsustainable--it is.

The devil's bargain Democratic politicians made with the teachers unions is a disaster for Chicago taxpayers. And for Chicago school children.

From CBS 2 Chicago:

The Chicago Board of Education made its pension payment on schedule Tuesday, but at a cost — massive layoffs.

The meet the $634 million obligation, the board used a combination of borrowed money, $200 million dollars in cuts and layoffs it promised before talks with the Chicago Teachers Union broke down last week.

The board is expected to lay off 1,400 employees, and Interim Schools CEO Jesse Ruiz said in a statement that classrooms will be impacted.

"As we have said, CPS could not make the payment and keep cuts away from the classroom," he said.

Bonds issued by CPS have junk status.

President Obama's secretary of education, Arne Duncan, is a former CEO of Chicago Public Schools.