Kansas Gov. Sam Brownback is predicting that his state will move toward having a 401(k)-style pension plan for new teachers and government workers.


Kansas Gov. Sam Brownback is predicting that his state will move toward having a 401(k)-style pension plan for new teachers and government workers.

Brownback said Thursday in an interview with The Associated Press that the state needs to make such a move to avoid further pension trouble.

The Republican governor said the state has two options -- a pure 401(k)-style plan for new public employees, or a hybrid that allows them to choose a 401(k)-style option or a traditional plan.

The Kansas public pension system faces a projected $7.7 billion gap between anticipated revenues and benefits promised to public employees and retirees over the next few decades.

Legislators are considering proposals for overhauling the pension system, and a plan to establish a 401(k)-style plan has won House approval.