Some Union Pension Cuts Likely As New Federal Rules Take Shape

[marmar]

(In These Times) The likelihood that hundreds of thousands of union members nationwide won’t be receiving the full pension benefits promised to them is becoming clearer as federal regulatory agencies in Washington, D.C., move to implement new pension legislation quietly approved in the final weeks of 2014.

As reported by Cole Stangler in In These Times late last year, legislators rushed to amend a 40-year-old law governing private-sector multiemployer pension plans as part of broader budget legislation that was considered “must pass” by both Republicans and Democrats. The new law, which has been the subject of heated debate in Washington for more than a decade, is aimed specifically at union pension plans facing long-term insolvency and gives the trustees of such plans new freedom to cut benefits to retirees as a way to reverse the declining fortunes of those plans. President Barack Obama signed the measure, called the Multiemployer Pension Reform Act of 2014 (MPRA), into law on December 16.

“These people (affected pensioners) don’t know what’s going to happen to them” as a result of cuts authorized by the law, says Bob Amsden of the newly formed Wisconsin Committee to Protect Pensions. A Teamster truck driver for 33 years, Amsden says he’s now in danger of losing a substantial portion of his own pension, and that hundreds of thousands of other union members are facing similar cuts.

There are numerous unanswered question on how exactly the MPRA will be implemented in the coming months by the Department of the Treasury and other federal agencies, but a troubling early sign for the future comes from the Center for Retirement Research at Boston College, which has compiled a list of the 100 union pension plans deemed likely to face benefit cuts. ...........(more)

http://inthesetimes.com/working/entry/17873/some_union_pension_cuts_likely_as_new_federal_rules_take_shape

[MichMan]

1. Some unions are promoting this

If I recall from previous posts a few months ago, this only applies to union managed multi employer plans.

It has been pushed by some of the affected unions themselves to ensure that their plans stay solvent for future retirees. If their are any cuts they will be voted on by the members and imposed by the unions on themselves.

[Scuba]

3. Source?

[FBaggins]

4. Who do you think pushed the idea?

These are union pension obligations.

[Omaha Steve]

5. He is 1/2 right

It will be the pension fund trustees that vote for the cuts, not the employees. Employees only get to vote for the trustee position.

OS

[FBaggins]

6. Nope... union members can still vote on the final cuts

http://www.pbgc.gov/about/factsheets/page/multiemployer-pension-reform-act-of-2014-faqs.html

[Omaha Steve]

7. I stand corrected

Iy happens, but not often.

OS

[Scuba]

2. Legislation quietly signed into law by the President who says "trust me" on the TPP.

[ibewlu606]

8. Kicked!

My International union pension is solvent, but other crafts in the National Building Trades are disasters. What gets me though is the countless hours we worked to get this President elected and to date, he has been a total failure for labor.

[cstanleytech]

9. Ya but who fault was it those that some of unions are facing insolvency?

Was it bad investments, negligence, embezzlement, incompetency or what?

[OverBurn]

10. Dad retired last year after 35 years a Teamster, now those bastards don't want to pay what

he's owed. Very disappointed in Obama for signing this piece of shit. Me and Dad both voted for him, twice, and now Dad's being betrayed.

[awoke_in_2003]

11. Once they have all the pension money

they are coming for Social Security. They won't stop, and I fear more than words will be needed to make them stop. And they have the police, military, and mercenary groups to protect them.