Congress must save pensions for 1.3M retirees: Fmr. House Speaker John Boehner

Fox Business News ^ | 07/18/19 | Henry Fernandez

[Freedom56v2]

Former House Speaker John Boehner and former Rep. Joe Crowley are joining forces in a bipartisan effort to combat a looming pension crisis affecting nearly 1.3 million American retirees Opens a New Window.

Boehner, the Ohio Republican who retired in 2015, is part of the Retirement Security Coalition, a leading force that is raising awareness to the underfunded multiemployer benefit plans.

“The job Joe and I have taken on is to try to elevate the seriousness of this problem," he told FOX Business’ Neil Cavuto Opens a New Window. on Thursday. "And Congress really does in fact need to act."

An estimated 10 million people participate in the multiemployer pension plans and 120 plans that cover 1.3 million workers may go bankrupt. There are 1,400 plans that will be insolvent in 20 years, according to the Pension Benefit Guaranty Corporation. “These pensions are becoming insolvent,” Crowley, the former congressman from New York who defeated in a major upset by Alexandria Ocasio-Cortez in the 2018 midterms, said. “We have 15 already that have gone south, we have 13 on [their] way.”

Snip

Boehner said the current political climate seems “a little strange” but Congress Opens a New Window. has come together to deal with important issues affecting Americans.

“It’s tough to get anything done in Washington,” he said. “But when you got 10 million retirees whose pensions are on the line, Congress knows this issue is important."

Failure to save the pensions, Crowley said, could have a severe impact on the U.S. economy because it has the potential to leach onto other retirement plans Opens a New Window. .

“A blow to our economy that will mean a lot in terms of loss to the revenue of our country

[rightprinciples]

This article says almost nothing of any significance. No detail as to how and why these plans are under funded. Whose responsible? If we start bailing out some plans with no consequences, other plans will go hog wild paying benefits, knowing they can get bailed out.

[gathersnomoss]

Why should I, an employee who does not have a pension, bail our these a-Holes? I do not own your plan. Ef off.

[pingman]

They’ll be coming for our tax-deferred retirement savings soon enough. The gears are already in motion to prevent you from bequeathing those funds to your heirs, reverting them to the goobermint. Stay tuned!

[cannon fodder]

No, Im just saying if your job is to “stand by in case something happens” then when it does its not really asking a lot if you work a couple extra hours to get it done. When the business I work for needs it I respond. Not asking for more than the average working guy.

[Maine Mariner]

Yes, I have also been following that issue. Twenty or thirty years hard core leftists were advocating a universal pension plan for all works-all IRAs, 401-K plans etc would be taken and used to fund this system, at least until the money ran out. Those ideas are slowly moving into the mainstream. After all saving for your own retirement is a form of white privilege and therefore racist.

[momincombatboots]

Ditto. They could work, like the rest of America.

[minnesota_bound]

Did Boehner speak up for the GM employees?
Did he speak up for any conservative?

[OldMissileer]

I am sure that the government workers pay their share of social security and Medicare payroll taxes, but does the government pay its share?

It doesn't really matter since any pay a Government worker gets is from the taxes of the people. They may have tax being withheld but it is all still the money taken from American workers.

If a Government worker makes $50K and pays $15K back to the Government in taxes he/she is actually only making $35K. Medicare and Social Security are paid by the Government so it is all from the same pot.

[norwaypinesavage]

"he Retirement Security Coalition includes employers, labor unions and policy experts in conjunction with UPS, the United Association of Plumbers and Fitters and the U.S. Chamber of Commerce."

It's not obviously to me why we taxpayers must bail out unions and businesses who squander their pension savings and go belly up. You will likely find that the bankrupt plans squandered their savings on ill conceived social and politically connected schemes.

[Bommer]

Tough shit! Welcome the the rest of the 95% of the country. Pensions if offered should only be based on disabilities or years of service. 20 years of service gets you 10 years of pension, and if you already make a lot of cash, then offer to donate it or be taxed on it. That would take most of the congress critters out of the equation!

[nuke_road_warrior]

Why is it my responsibility to pay for a retirement crisis created by irresponsible politicians? How ‘bout Boehner et. al. if they're so concerned, give up their pensions first?

[napscoordinator]

So if I’m a plumber, I worked my 8-hours. A busted pipe is in the middle of downtown, I can say see ya tomorrow or work for free? Hmmmmm.

[Brilliant]

Yes but my point is that with social security and medicare going bust I think it is important to hold the governments feet to the fire. There is plenty they can cut from other programs to fund this. And government should be held to the same standard that it holds private business to. If private business is forced to pay these taxes to the trust fund then the government should as well. It’s not as though the government is paying the money to itself. This is in theory the money of the social security recipients. In order to get a true picture of the accounting the government should reserve a portion of its revenues for that purpose instead of simply putting it in the general budget.

[Dandy]

Congress should have nothing to do with it. Let it fail. Paying people not to work makes no sense.

[Jane Long]

Ooh....looking forward to seeing what’s under that tip of the iceberg.

They played for pay, and visa-versa.

And, then some.

Thanks ;-)

[fella]

The people running that plan need to have all their assets seized and themselves sent to jail for maximum terms first. Before the innocent taxpayer gets stuck with the bill.

[SkyPilot]

People with 401K will maybe be all right but that depends on the whim of the stakeholders.

Correct. And, IRAs and 401Ks are tied to the market. Some argue this is not the case, but even the most diversified plans are tied to equities. If things go south in this country quickly, the money in people's retirements is not safe from financial upheaval. Further, if that crisis arises, our money is not safe from the Federal government either. Because what people have in their accounts is reported to the IRS every year, the government knows their value.

There are already numerous plans to seize IRAs and 401Ks if they government "needs that money" in a crisis, and to issue everyone worthless bonds.

Can't happen? Yes, it can.

[cherry]

the key is not to think of the future....that's the democrat way.....

I hope the Pension Guaranty board isn't going belly up because my husband depends on that pittance for his retirement, after the govt allowed a crony capitalist to bankrupt company, throwing all the workers out, losing benefits and pensions...

[SkyPilot]

Twenty or thirty years hard core leftists were advocating a universal pension plan for all works-all IRAs, 401-K plans etc would be taken and used to fund this system, at least until the money ran out. Those ideas are slowly moving into the mainstream. After all saving for your own retirement is a form of white privilege and therefore racist.

Exactly.

Over 70% of Americans live paycheck-to-paycheck. Of those totally dependent on state or government benefits, the figure approaches 100%.

Over 50% of Americans could not come up with $500 if they needed it for an emergency such as a home or car repair bill (think about that one).

42% of Americans have less than $10K saved for retirement.

[cherry]

I’ve always told myself, even at my age, if the govt steals anymore from us I’ll have to learn how to be devious and become criminal....