Central States Fund Quarterly Report

Following the May 6 decision of the Treasury Department to reject the Central States Fund’s application for pension cuts, the Fund Trustees immediately considered a new plan for more drastic cuts and also a proposal to sue the Treasury Department.   

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Both ideas were rejected. Now it’s time for the Fund to join with the pension protection movement in support of more positive solutions.

Those drastic ideas were rejected at a May 10 meeting of the Fund Trustees, according to the First Quarter Independent Special Counsel’s Report.

Rejected Plans

The first presentation to the board was a new plan for pension cuts, which would have cut all retirees down to 110% of the PBGC level, which has a maximum for a 30-year age 65 retiree of $1072 per month. This even more drastic proposal was considered because Treasury’s rejection stated that the original cut plan was too optimistic in its projection.

The second presentation was to take legal action to seek to reverse Treasury’s decision to reject the plan.

The report states that “after consideration of the actuarial, legal and practical” issues, they decided they could not get the more drastic plan through the procedure quickly, and that the legal avenue would be a waste.

The fact that they even considered such an evil proposal is reason for a change in direction at the Fund.

Time to Cooperate!

The Fund leadership concluded that “the Fund should continue to cooperate with members of Congress, regulatory agencies, and interested labor unions, employers, private parties and organizations in a search for a solution” to the funding problem (page 8 of report).

We call upon the Fund trustees, Director Thomas Nyhan, and the IBT leadership to live up to these words! 

Put the full resources of the Fund and the IBT to work to mobilize support for a legislative solution, based on the Keep Our Pension Promises Act or a similar bill.

Contact all retirees and active participants to ask for their support and involvement in the pension protection movement.

Make solving this pension crisis the political priority of the International union and the Fund.

Financial Report

The First Quarter Financial and Analytical Report indicates that the Fund made a 1.5% return on investment in the first quarter, and the fund has 58,149 active participants and 205,101 retirees and beneficiaries receiving benefits.

The First Quarter Health and Welfare Fund Report is also available.


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  • followed this page 2016-10-31 15:19:10 -0400
  • commented 2016-06-14 08:08:17 -0400
    Justin
    I understand where you’re coming from. I retired from UPS and because I retired before 2008 they wouldn’t be helping me like the deal they made for retirees after that. Letting UPS get out was a huge mistake. Your comments about Teamster leaders I agree with. When this falls on it’s azz they lose their jobs.
  • commented 2016-06-13 20:20:44 -0400
    Mike Smith: Now you need either glasses or reading lessons. Probably both. As I said based on contributions by your former employer/s and realistic actuarial and benefit calculation most of these non-UPS workers would be getting $300 a month not $3000. The pension system just got so accustomed to ripping the UPS workers off to inflate the unearned and unpaid benefits promises. Like you and of every non-UPSs worker/retiree you still drink that Kool Aid your union bosses served you. Your Teamster bosses were only interested in saving there own backsides and making promises they knew they couldn’t pay for from bankrupt and failing business they just stole it from the UPS workers and you know it and so does TDU.
  • commented 2016-06-12 15:09:41 -0400
    $300 a month for 32 years of service and union dues. You’re a real dandy there Justin. Which trustee are you related to?
  • commented 2016-06-12 09:40:53 -0400
    The leadership has thrown all active members under the bus. If there was going to be a legislative solution it would have been done already. No Republican controlled house will ever pass a bailout of a union pension plan. The entire public and private pension systems are nearly 5 trillion underfunded. Congress know once one gets a bailout the rest will follow. Refusing to submit a revised plan means the fund will continue to bleed 5 million a day until an acute crises hits and then fund will declare bankruptcy followed by PBGC.

    The current retirees will continue to receive grossly over paid, over promised, unearned benefits ( based on a real actuarial assessment of contributions made by their former employers the should not get $3000 a month but more like $300) while the active members see every penny of their past and future contributions vanish.

    The retirees are happy now and could give a rat’s backside (include TDU here too) for active members beyond more platitudes and wishing for the impossible and for miraculous saviours in congress to appear. There won’t be any so forget it.
  • commented 2016-06-10 11:51:20 -0400
    It is crunch time. Without a legislative solution to funding the CSPF “every member,” both active and retired, will lose “100%” of their pension benefit in about 10 years. Please do your part and encourage Congress to help find and support any legislation that will preserve our pensions long term. Without a funding solution many Union Brothers and Sisters will end up on welfare or worse; and this should not be considered an option.
  • commented 2016-06-10 11:36:06 -0400
    Maybe you people should start looking at voting for a party that actually helps job creators. You keep voting for the party that keeps imposing regulation after regulation on businesses. This does nothing but destroy jobs and place the burden of higher costs for everything on us citizens. Jobs are what the union needs. This administration and another one of the same party will keep destroying jobs. When will you wake up and learn that they don’t give a damn about the middle class. They have destroyed the middle class and Mrs Clinton will continue to do so.
  • commented 2016-06-09 18:47:06 -0400
    Good….
  • @TeamsterRnF tweeted this page. 2016-06-09 14:58:29 -0400
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