Public Sector Sees Silver Linings from Pandemic

Duncan Baird said the Arkansas Public Employees Retirement System had one of its best years even during the COVID-19 pandemic.

The pandemic certainly disrupted social and economic activities this past year and will, unfortunately, for the future. Baird, the executive director of APERS, said the pandemic’s exact impact on the pension fund isn’t known and probably won’t be until long-term, industry-wide studies are completed.

“With COVID, it may only be a short-term effect if there is even an effect,” Baird said. “It may be too early to tell.”

One thing the pandemic has done, Baird believes, is show the positive aspects of holding a public sector job. The pandemic has caused job losses in many industries and many employees saw their hours reduced.

For workers who depend on job security and benefits, a public sector job may suddenly be more appealing.

“One of the things we see here at APERS [is] the APERS benefit is the best benefit they receive from their public services,” Baird said. “In this competitive market, with the way it has changed during COVID, a defined benefit plan remains something that can distinguish public sector employment and help us be competitive with the private sector.”