McNichol says governments could eliminate the defined benefit pension entirely for new hires and offer them a 401(k)-type plan. Many private sector unions have been agreeing to those kinds of changes, with the thinking that you first protect the older employees who are closer to retirement age.

"One way to reduce your obligation in the future is to reduce benefits for new employees," she says.

Generally speaking, support for switching from traditional pensions to personal accounts comes from Republicans, who view them as more "free market" by taking the responsibility off government to provide for old age. Democrats and their public employee union allies largely support the status quo.

Wisconsin is in a slightly different situation, however, since its pension fund remains flush. There is no pressure to close a yawning gap between how much is in the fund now and how much has been promised in the future.

"They say pensions are driving the crisis but I don't buy it," says Brainard, who has been following the Wisconsin situation.

In fact, Brainard has only good things to say about the Wisconsin Retirement System and how it has been managed over its 50-year history.