No one can accuse California of being lax on its reaction to themounting costs of retirement benefits - but it seems like thiselection season has kicked reform into high gear.

Following on the heels of last week's adoption of changes to state-level retirement benefits - raising theretirement age and limiting pensions for new hires, as well asrequiring workers to pay significantly more for their own futurebenefits - Los Angeles City Council has begun its own campaign toreform retirement benefits for city workers.

On Tuesday, Los Angeles leaders presented their plans toset the city retirement age at 65 and penalize employees who retireat an earlier age. According to the LosAngeles Times, the plan would also ask employees tocontribute more if the existing retirement fund suffers majorinvestment losses - as most pension systems have in recentyears.

The changes would not apply to workers hired before July 1 or tofirefighters or police officers. Officials say the changes couldsave the city up to $70 million in the next half-decade and almost$5 billion over the next 30 years.

Employee unions, predictably, have responded negatively to this,the most recent move in a summer's worth of state-wide pension andretirement benefit battles - similar proposals were introduced andpassed by voters in both San Jose and San Diego, and are also being contested bymunicipal employee unions.

"We'll take whatever action necessary to enforce our rights,even if it means going to court," Bob Schoonover, president ofL.A.'s Service Employees International Union Local 721, told theTimes. He called the proposal "more of a political move than afinancial move" and suggested legal action was imminent.

City officials say that since the changes will only affect newemployees, they don't put much weight on the legalthreats.

"I don't think that their membership cares, quite frankly. Thisis all about people who don't work for the city today," LosAngeles CAO Miguel Santana told the Times.

Other changes included in the proposal would deny health carebenefits to spouses of retired city workers, as well as changingthe formula for pensions, basing it on the last three years' worthof pay, not just the final year.