The state also uses a liability estimation method (the Projected Unit Credit method) that modestly understates accruedpension benefits, and amortizes its unfunded pension liabilities over a period slightly longer than the 30 years recommended by GASB.
He also said that all current workers' accrued second state pension rights will be recognised, so they will be paid a top-up to the new, merged, flat-rate payment.
Pension rights accrued under the existing sections will be protected, so pensions earned up to the change-over date of April 2015 will be payable at the current retirement ages.