LANSING, Mich. (AP) – Michigan’s attorney general says he’s joining the Detroit bankruptcy case on behalf of pensioners.
According to a statement released Saturday by his office, Bill Schuette will file an appearance in federal bankruptcy court on Monday.
Pension benefits are constitutionally protected in the state, and Schuette says he will work to defend “Michigan seniors living on fixed incomes and anticipating a safe and secure retirement after a lifetime of work.”
Detroit Emergency Manager Kevyn Orr took Detroit into Chapter 9 bankruptcy earlier this month with the blessing of Gov. Rick Snyder. It’s the largest bankruptcy by a local government in U.S. history.
The status of employee pensions is expected to be a key issue in the bankruptcy. Orr has said pension benefits could be reduced along with other debts.
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