Posted on 05/20/2016 5:05:57 PM PDT by bkopto
The Central States Pension Fund has no new plan to avoid insolvency, fund director Thomas Nyhan said this week. Without government funding, the fund will run out of money in 10 years, he said.
At that time, pension benefits for about 407,000 people could be reduced to "virtually nothing," he told workers and retirees in a letter sent Friday.
In a last-ditch effort, the Central States Pension Plan sought government approval to partially reduce the pensions of 115,000 retirees and the future benefits for 155,000 current workers.
The proposed cuts were steep, as much as 60% for some, but it wasn't enough. Earlier this month, the Treasury Department rejected the plan because it found that it would not actually head off insolvency.
(Excerpt) Read more at money.cnn.com ...
If the government takes my 401k, I’m getting it back. I may have to go “Jesse James” on em to get it, but I’m gonna get it back!
I thought it was the Teamsters.
Yep - the Smart Guys took over from the Wise Guys and screwed the pooch. http://www.marketwatch.com/story/losses-under-goldman-northern-trust-accelerated-teamsters-cuts-2016-04-06
Central States, by contrast, covers employees at several companies. The commonality is Teamster representation. The union would negotiate a contract with a company which included pension contributions. Those $$$ went to Central States.
i was talking to my brother-in-law about this, just last weekend. He is a driver for UPS. He said the Teamsters bargained with UPS for UPS to pick up the difference for UPS Teamsters drivers in the Central States pension. So he said he is fine, but a lot of drivers for other trucking companies are screwed.
Seems to me like the entire trucking industry is getting screwed. Passed four trucks on the way into the city today and all were being driven by guys who were obviously Hispanic.
Thanks for your comment. Had forgotten about Whitney.
“If you’ve worked for 30 years, you probably also are on drawing social security. Can SS sustain the Teamster retiree ?”
One day soon, the SS mouthpieces will begin lip flapping about a means test being researched.
Best wishes to all. If you (random person whose pension vaporized) go to my church or live on my street, I’ll probably help you in some way.
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Good for you!
I help support our church’s food bank, which helps about 75-100 families a week. We have a clothing bank too.
Just think how much more we could do if the government didn’t rob us so they could give to those they deem to be “poor”.
Takes two to tango, bubba. The union kept demanding these huge returns and management was doing the 'yes sir, yes sir, three bags full' - all to keep paying these idiots 75K a year because they are retired truck drivers. Why else would UPS kick the pension obligation back to the union during the last negotiation? Don't blame the companies at this point - BLAME THE UNION!!
Got a deal for the IRS. They can keep my social security and I am not paying any taxes for the remainder of my life. Might as well get something for all that lost money.
As bad as that is, what really irritates me, when I bother to think about it, are all the government employees, with their nice big salaries, who have nothing to do all day but make life more difficult for everyone else.
> Easy to say until your entire savings are gone in one members final illness!
It will be gone either way. The government will confiscate savings accounts to pay for those who didn’t save.
How about all the money the Teamsters stole from the fund to give to DemocRATS?
Used to remit contributions to this fund for the company I worked for it’s one union truck driver. I remember when he retired how little he was going to receive considering what was paid in for him by the company.
While there are many good points on this thread.....union corruption, Govt pension excesses, and other things, the reason this is happening is that the government, to prevent a reckoning from its excess spending and debt is setting interest rates to prevent blowing out budgets.
If you get zero returns, you cannot sustain a pension fund, because you are burning through principal.
No pensions, including government pensions will survive this
So 36 years later, we are supposed to fix their problem...?
That is a very likely scenario. It will have some very negative side effects for the ruling class however, if you know what I mean. And they will deserve whatever they get.
I know what you mean. The idea has already been floated and quickly sunk again, so to speak, but if, someday, the government can't borrow enough to cover their own Federal employees' pension and health insurance liability, they might roll the dice.
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