New York pension systems sued for politicizing public pension investments

In Politics by Michael Rae

Members of three New York City public pension systems recently filed a lawsuit over the plans’ 2021 decisions to divest pension fund assets in fossil fuels. The New York City Employees’ Retirement System, the Teachers’ Retirement System, and the Board of Education Retirement System divested roughly $4 billion in fossil fuel investments that year to “reach net-zero greenhouse gas emissions across [their] investment portfolios by 2040, becoming one of the first cities to do so.” 

The lawsuit, filed by four members of the plans, claims the divestment decision inserted political beliefs into investment decisions and thus violated the pension plans’ core