Central States going broke---

[Wally]

bring back Rocco and Moose

Moose and Rocco know how to collect! The pension would be flush with cash in no time.

 

[Wally]

Sadly the "brotherhood" disappeared years ago.

Local brotherhood should had been demanding fixes at the first sign of pension trouble.

 

[Bubblehead]

Local brotherhood should had been demanding fixes at the first sign of pension trouble.

Are you saying they didn't, but if they did, what leverage did they have to "demand" anything?

 

[542thruNthru]

View attachment 322033

Oh I know. I'm screwing around in here as well.

 

[542thruNthru]

You obviously understand a lot....but why do you keep saying that, as if it is possible?

I'm mostly just screwing around but it is something that keeps being talked about. Government trying to pass bills that would allow the union to take from well funded pension to boost critical pensions. Of course they'll have to "pay it back"

 

[rod]

As that famous Country Joe McDonald used to say:

Uncle Sam got himself into a terrible jam---whoopee we're all gonna die.

 

[Bubblehead]

I'm mostly just screwing around but it is something that keeps being talked about. Government trying to pass bills that would allow the union to take from well funded pension to boost critical pensions. Of course they'll have to "pay it back"

That is crazy talk being spread by your slate from out west.

No way, no how, will anything like that ever be remotely possible.

Think about it, the Board of Directors of all pension funds are comprised of union and company officials from all involved parties.
Why would multi-employers, from multiple locals, ever vote to assume the liabilities of another fund?

No offense, because I respect you, but that is just a ridiculous notion.

 

[rod]

That is crazy talk being spread by your slate from out west.

No way, no how, will anything like that ever be remotely possible.

Think about it, the Board of Directors of all pension funds are comprised of union and company officials from all involved parties.
Why would multi-employers, from multiple locals, ever vote to assume the liabilities of another fund?

No offense, because I respect you, but that is just a ridiculous notion.

Never say never

 

[Bubblehead]

Never say never

NEVER!!!

Face it Rod, there is no money in it....accept for those who can no longer vote.

 

[DOK]

Central States has been underfunded for MANY years. I could be wrong but I believe the last audit we got notice of was that they were at a whopping 19% funded.

Did they not adjust along the way?

 

[542thruNthru]

That is crazy talk being spread by your slate from out west.

No way, no how, will anything like that ever be remotely possible.

Think about it, the Board of Directors of all pension funds are comprised of union and company officials from all involved parties.
Why would multi-employers, from multiple locals, ever vote to assume the liabilities of another fund?

No offense, because I respect you, but that is just a ridiculous notion.

Well that's good to know. Pensions have always been my weak point.

 

[Bubblehead]

Look folks, blame who you want from days gone by for Central States winding up in the "state" it is in, but one thing is undeniable,....

....James P. Hoffa and his EBoard(s) have had 23 years to right the ship.

But in the end, the measures taken by his administration(s) have only made it worse.

 

[Wally]

Are you saying they didn't, but if they did, what leverage did they have to "demand" anything?

Doesn't seem like they did anything?

 

[Bubblehead]

Local brotherhood should had been demanding fixes at the first sign of pension trouble.

Are you saying they didn't, but if they did, what leverage did they have to "demand" anything?

Doesn't seem like they did anything?

Cute Memes, but you didn't answer my question....

What leverage does any "Local brotherhood" have to fix a regional pension fund?

 

[Up In Smoke]

The Central States Fund was also hurt by the deregulation of the trucking industry in the 80s. Many union carriers couldn't compete with non-union, privateers and Mexican companies. The Union carriers were forced to make hard decisions over labor costs and most eventually closed their doors. These companies left the fund with IOUs that were never to be collected. Combined with the government taking over the fund because of Vegas investment investigations and the fund was doomed. Today the fund is working with government to sure up the finances through the Butch Lewis Act, kind of a FDIC for the fund. Democrats are willing to support a bill, but Republicans are not. Not sure if a Biden White House will advance any talks.

 

[Bubblehead]

The Central States Fund was also hurt by the deregulation of the trucking industry in the 80s. Many union carriers couldn't compete with non-union, privateers and Mexican companies. The Union carriers were forced to make hard decisions over labor costs and most eventually closed their doors. These companies left the fund with IOUs that were never to be collected. Combined with the government taking over the fund because of Vegas investment investigations and the fund was doomed. Today the fund is working with government to sure up the finances through the Butch Lewis Act, kind of a FDIC for the fund. Democrats are willing to support a bill, but Republicans are not. Not sure if a Biden White House will advance any talks.

Deregulation and the 80's was forty years ago....what's the shelf life of that excuse?

....and how is it other Teamster pension funds managed to stay viable under similar dynamics?

 

[Up In Smoke]

The Central States Funds full name was Central States, Southeast and Southwest Areas Pension Fund. This fund covered the majority of the US and had millions of members and hundreds of large employers. The members are still around but the companies are not. Outflows exceeded inflows under the governments watch and the fund became insolvent around 2003. With UPS leaving the fund in 2007 the fund was forced to reduce all current and future benefits. The Central States is attempting to rebuild itself but needs government protection to underpin its' balance sheet.

 

[Brownslave688]

I'm mostly just screwing around but it is something that keeps being talked about. Government trying to pass bills that would allow the union to take from well funded pension to boost critical pensions. Of course they'll have to "pay it back"

"pay it back" Look no further than illinois pensions. Worked splendidly

 

[Bubblehead]

The Central States Funds full name was Central States, Southeast and Southwest Areas Pension Fund. This fund covered the majority of the US and had millions of members and hundreds of large employers. The members are still around but the companies are not. Outflows exceeded inflows under the governments watch and the fund became insolvent around 2003. With UPS leaving the fund in 2007 the fund was forced to reduce all current and future benefits. The Central States is attempting to rebuild itself but needs government protection to underpin its' balance sheet.

Why did the IBT negotiate an early settlement in 2007 with UPS, allowing them to withdraw from the fund as the single largest surviving contributor to the fund by far, after striking over the notion 10 years prior.

....and what benefits were reduced?

 

[Federal Reserve Chairman]

Jerome Powell Janet Yellen Ben Bernanke ZIRP