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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsThat awful Congressional plan to allow pension cuts heads for enactment
The Congressional proposal to deal with a supposed crisis in worker pensions by allowing trustees to slash the benefits of already-retired workers to shreds is heading toward enactment.
We reported on this plan last week, observing that its details were secret. They still are. Reps. John Kline, R-Minn, and George Miller, D-Martinez--the chairman and ranking Democrat on the House Committee on Education and the Workforce, told reporters on a conference call late Tuesday that the measure is being passed over to the House Rules Committee, which will move it as an amendment to an omnibus spending bill, as early as Wednesday. Senate action will follow, presumably no later than Thursday, when Congress departs for vacation.
The proposal is aimed at multiemployer pension plans, which are generally negotiated by a union to cover employees of all companies in a given industry. About 1,400 such plans cover about 10 million workers, according to the Pension Rights Center. About 150-200 of the plans, covering 1.5 million workers are seriously underfunded and could run out of money sometime during the next 20 years.
The Congressional proposal allows trustees of those plans to slash benefits sharply for retirees to give the plans a longer lease on life. It requires a vote of approval by active workers and retirees before that could be done--but some pension advocates say that would only pit workers against retirees, with the latter coming out poorer.
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http://www.latimes.com/business/hiltzik/la-fi-mh-that-awful-congressional-plan-20141209-column.html
People need to raise holy hell about this, NOW
yeoman6987
(14,449 posts)Both sides seriously out of touch with the working class.
NoJusticeNoPeace
(5,018 posts)blkmusclmachine
(16,149 posts)octoberlib
(14,971 posts)In talks with Sen. Chuck Schumer, D-N.Y., Republicans led by Rep. Jeb Hensarling, R-Texas., agreed to the renewal, but said they wanted to roll back portions of the 2010 Dodd-Frank law that tightened federal regulation on the financial sector.
The stand-alone bill seemed likely to clear the House, but its fate in the Senate was uncertain.By contrast, disagreement over an emerging proposal relating to multi-employer pension funds was not along party lines.Officials said the talks between Rep. John Kline, R-Min., and George Miller, D-Calif., were designed to preserve benefits of current and future retirees at lower levels than currently exist, but higher than they would be if their pension funds ran out of money.
"We have a plan here that first and foremost works for the members of the unions, the workers in these companies and it works for the companies," said Miller, retiring at year's end after four decades in Congress.
Not everyone agreed.
The AARP, which claims to represent millions of retirement-age Americans, attacked the agreement as a "secret, last-minute closed door deal between a group of companies, unions and Washington politicians to cut the retirement benefits that have been promised to them."
http://www.huffingtonpost.com/2014/12/09/congressional-spending-bill_n_6297970.html?ncid=tweetlnkushpmg00000067
bluesbassman
(19,376 posts)Did these pillars of our economy not agree to fund the plans as part of the total compensation agreed to between them and their employees? Where the hell is the money?
I'm just spitballing here, but my guess is in the personal bank accounts of current and past CEOs, and the hoards of cash many of these companies have diverted to offshore shell companies. They can talk about slashing the earned pension money rightnafter they claw back those funds.