Pension Fund Run By Wall Street Cited In Push To Cut Retiree Benefits

Matthew Cunningham-Cook
International Business Times
December 11, 2014

Six years after the financial crisis, the economic aftershocks are still rattling the halls of Congress -- this time in a debate over an esoteric pension provision tucked into an end-of-year budget bill. Though that legislation, known as the “cromnibus,” is supposed to be about annual appropriations for government agencies, lawmakers have inserted language that would give private pension plans the power to cut benefits to thousands of current retirees whose pension savings were decimated by investment losses from the financial collapse of 2008.

If the initiative is enacted, experts say, it would be the most consequential change to retirement policy in the United States since the passage of landmark pension legislation 40 years ago. Altering the 1974 Employee Retirement Income Security Act to permit benefit cuts could prompt a slew of efforts to chip away at formerly untouchable guarantees of income to millions of retirees.

Click here to read more at The International Times.


Be the first to comment

Please check your e-mail for a link to activate your account.
Get Advice Join TDU Donate

Recent News

Local 50 Officer Indicted, Members Face Merger Threat

Federal embezzlement charges have been brought against the former Local 50 president Scott Alexander and his wife Nancy – the former Local 50 office administrator. 

Judge Rejects Hoffa Corruption Whitewash

A Hoffa-appointed panel cleared Willie Smith of any wrongdoing after he was charged with racketeering and taking an illegal employer gift. But Judge Barbara Jones has overruled the Hoffa whitewash. 

View More News Posts