The Central States Pension Fund ended 2018 with assets of $13.2 billion, a loss of $1.8 billion for the year, according to the fourth-quarter Financial and Analytical Report.
The fund paid $2.8 billion in benefits (unchanged from 2017) and collected $1.1 billion in employer contributions and withdrawal liability payments. Thus the fund relies on investment gains to break even, which becomes impossible as the assets dwindle.
Retirees, the union, and our allies are working diligently to get legislation passed to backstop the pensions of millions of Americans – not just Teamsters.
The fourth quarter Independent Special Counsel report notes that the fund lost 2.67% on investments in the fourth quarter, due to the big stock market decline. The fund has lowered its stock holdings to 24% of the $13.2 billion in assets, with the remainder in bond funds.
The pension fund has 54,000 active participants and 200,000 retirees, both numbers are slightly down from a year earlier.
The Central States Health and Welfare Fund (TeamCare) financial report is completely different: the fund is growing, with huge reserves. The fund has 196,000 active participants and 8,300 retirees. The assets continue to grow and stand at $6.3 billion, which is over two full years of reserves.
The Special Counsel Report states that the 680 employees of the H&W and pension funds will move into their new building this July.
Earlier this month, the 390 Teamsters employed by the funds went on strike, after rejecting five contract offers, then ratified a contract and returned to work on March 18.
Teamsters for a Democratic Union (TDU) is the only source for the quarterly financial reports on the funds; they were obtained by court-order, and are made available by TDU so that members and retirees can stay informed, and get involved.