Puerto Rico Governor Ricardo Rosselló said yesterday that he would not implement pension cuts and changes to employment rules sought by the bankrupt U.S. territory’s oversight board, Reuters reported. “We will not propose any bill that reduces vacation and/or sick leave,” Rosselló said, adding that it was “wrong and immoral to reduce the benefits” of public worker pensions. Rosselló’s statement came during a public hearing by the federally-appointed oversight board, which is tasked with helping the island regain access to capital markets amid the dual scourges of insolvency and natural disaster. If Puerto Rican leaders refused to implement board-mandated measures, the board could sue to enforce them, setting up a potential court battle over the details of Puerto Rico’s path out of bankruptcy. The board was expected at the meeting to approve its fiscal turnaround plan for the island, which includes slashing government worker pensions 10 percent on average, though specific cuts would vary.
