Key Issue: COLA for Pre-Act 9 Retirees
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Key Issue: Passing a COLA for pre-Act 9 retirees

Pennsylvania Approves COLA for Pre-Act 9 Retirees

Pennsylvania's FY 2026-27 state budget includes a long-overdue cost-of-living adjustment (COLA) for more than 34,000 retired educators and education support professionals who retired before Act 9 of 2001. After nearly 25 years without a pension increase, these retirees will finally receive meaningful relief.

Long-overdue relief

The bipartisan state budget approved by the General Assembly and signed by Gov. Josh Shapiro includes a permanent COLA for eligible pre-Act 9 PSERS retirees.

This marks the first time since 2002 that Pennsylvania has approved a pension COLA for retired public school employees. Thousands of retired educators and support professionals who have seen inflation steadily erode the value of their pensions will finally receive the increase they have earned.

Why this matters

For nearly a quarter century:

  • Food costs have increased approximately 97%.
  • Housing costs have increased approximately 98%.
  • Medical care costs have increased approximately 111%.
  • Many eligible retirees receive pensions averaging less than $20,000 annually.
  • The average eligible retiree is approximately 84 years old.

This COLA helps restore the promise of a secure retirement for the public servants who dedicated their careers to Pennsylvania's students.

Thank you for making this happen

This victory would not have been possible without years of advocacy from PSEA members, retirees, legislators from both parties, and Gov. Josh Shapiro.

Together, we secured one of PSEA's legislative priorities and reaffirmed that every public school employee deserves dignity and security in retirement.

Get Involved

Let's say "Thanks!"

In the Press

WGAL News 8 – Education and police leaders thank state lawmakers for passing COLA increases

The Keystone: Pa. public sector retirees get first pension increase in decades after state budget passes

Reading Eagle: Berks lawmakers react to Pennsylvania budget

April 10, 2025

PennLive: Pa. House passes pension increase for oldest retired teachers, state government workers

March 20, 2025

Altoona Mirror: House approves pension COLA

June 05, 2024

NBC News: Despite healthy economy, many Americans worry about retirement

April 25, 2024

Philadelphia Inquirer: Letters to the Editor | Adjustment Needed

November 14, 2023

Associated Press: Pa. House OKs $1.8 billion pension boost for government and public school retirees

November 14, 2023

Fox 56 (Wilkes-Barre): Pennsylvania House approves first potential cost of living raise for retired educators in 20 years

November 14, 2023

PennLive: Pa. House passes cost-of-living adjustment for pre-2001 state, school retirees

November 14, 2023

Pa. Capital-Star: State House passes COLA legislation for retired public school teachers and state workers

November 17, 2023

The Keystone: Retired Pa. educators and public servants struggle to make ends meet

November 09, 2023

Reading Eagle: Retired Pennsylvania educators, public servants struggle to make ends meet

October 31, 2023

PennLive: Nearly 70K Pa. school, government retirees have had no COLA increase in 21 years

October 17, 2023

ABC 27: Advocates call for cost-of-living adjustment increases for retirees

October 17, 2023

Fox 43: State retirees call on lawmakers to make ‘cost-of-living adjustment’ for pensions

Scott Brown, Pre-Act 9 PSEA-Retired

“I was inspired to go into teaching because of the words of John Kennedy. In addition to calling us to service, as a mathematics teacher, he wanted to beat the Soviets to the moon. We succeeded in that. I served my county, helped beat the Soviets to the moon. And now I feel really let down and overlooked.”

Vivien Aulenbach, Pre-Act 9 PSEA-Retired

"Many [Pre-Act 9 retirees] retired at much lower salaries. Some of them chose not to take Social Security. They need our help. Their pension does not cover the food, the medicines, their utilities."

Patsy Tallarico, PSEA-Retired President

“So many retirees really, really need a COLA. Every year that they don’t get one, their lives get harder, and their money doesn’t go as far. I’m very glad that PSEA recognizes how important this is. PSEA-Retired members are going to work as hard as we possibly can to help get this done.”

Trina Smith, PSEA-Retired

“So many of our retired teachers retired 20, 30 years ago and have not had a cost-of-living increase in their pension. Some of them are living on $9,000 a year. When I started in '78, my salary was $9,000, which means that theirs was probably $15,000. So they're getting a pension based on $15,000, and Social Security based on $15,000. So they are living on very, very little, and they really need help in the situation with the cost-of-living. It's crucial that our legislators give our pre-Act 9 retired educators a cost of living increase.”