Mayor: Chicago pension changes tough, but worth it

Chicago Mayor Rahm Emanuel says his plan to overhaul two city pension funds may be difficult to swallow, but will be worth it.

The Illinois Legislature approved the measure Tuesday, sending it to Gov. Pat Quinn.

Emanuel's plan would reduce a $9 billion shortfall in funds covering 57,000 current and retired municipal workers and laborers. It would cut benefits and increase city and employee contributions to the accounts.

Emanuel wants to increase city property taxes by $750 million over five years to cover the increased contributions.

Speaking to reporters Tuesday night, Emanuel acknowledged the plan asks a lot of residents, employees and retirees. But he says it will help save the retirement funds from insolvency and avoid even larger tax increases.

Quinn hasn't said if he'll sign the bill.