As if hundreds of billions of dollars spent on stimulus packages, auto bailouts and Obamacare were not enough, liberals in Congress have another surprise in store for the American taxpayer. Sen. Bob Casey is pushing legislation that would force average citizens to foot the bill for union pension plans that have been grossly mismanaged. Yes, Congress has concocted another bailout for a favorite political group.
Considering that Social Security and Medicare are going bankrupt, it is all the more preposterous that we are being asked to bailout union pension plans. Hardworking Americans who have paid into Social Security and Medicare all their lives may not receive the benefits they have earned, but this Congress is ensuring that union members are rewarded with pensions that have been consistently underfunded.
NO UNION BAILOUT FOR IRRESPONSIBLE PENSION PLANS
Demand Congress STOP the UNION BAILOUTS - Fax Congress NOW
Whatever happened to the notion of personal responsibility? Do not allow the bedrock principles of our country to be chipped away by partisan politicians who are more concerned with the unions than their own constituents.
After all, unions account for a critical portion of Democratic base. It will take a powerful, engaged opposition to overcome the Obama, Reid, and Pelosi Machine, and we need your help to make it happen.
Do not be fooled by the “we have to pass the bill to find out what’s in it” approach that has recently become a staple of this government. Show Congress that you know what’s in this bill and that you want absolutely no part of it. With Card Check legislation currently stalled, Congress has found a new way to both promote unions and inflate the federal deficit, seemingly two of its favorite activities.
NO UNION BAILOUT FOR IRRESPONSIBLE PENSION PLANS
Demand Congress STOP the UNION BAILOUTS - Fax Congress NOW
Casey intends to shift billions of dollars in unpaid retiree liabilities to the Pension Benefit Guaranty Corporation, and it should be no surprise that the PBGC would be paying for these benefits with taxpayer dollars. If the bill is passed, it has an estimated cost of up to 165 billion dollars. However, the taxpayer’s liability could be unlimited since these pensions are intended to be paid throughout the duration of each worker’s life.
The Wall Street Journal went as far as to describe this as “a sort of pension Ponzi scheme.”
Multi-employer pension plans operate when companies spanning across an entire industry pay into a single pension pool. Various unions organize and administer these plans, and they are notorious for being very poorly managed. In 2008, the Labor Department noted that 230 multi-employer plans were less than 80-percent funded. In many cases, the plans were under 65-percent funded or had applied to the government for financial relief.
By 2009, this number grew to an astounding 640 plans. That’s right, in just one year the number of severely underfunded pension plans nearly tripled. How high will that figure skyrocket in 2010? Do not be persuaded by the argument that the financial collapse is to blame for these mismanaged pensions. Before the major economic problems, in 2006, a mere 6 percent of multi-employer plans were fully funded.
NO UNION BAILOUT FOR IRRESPONSIBLE PENSION PLANS
Demand Congress STOP the UNION BAILOUTS - Fax Congress NOW
Unions love to back multi-employer set-ups because they encourage lifelong union membership. Under these plans, workers are able to keep their retirement benefits even if they switch jobs, as long as the new job is with a participating company. Furthermore, this bill will encourage more companies to unionize, since it will become easy to unload unfinanced pension debts to innocent taxpayers.
For countless years, the promise of hefty, secure pensions throughout retirement has been a key-organizing tactic for labor unions. Needless to say, the pension plans become more and more unsustainable as time wears on, and the unions have repeatedly failed to take the responsible steps of raising the retirement age, cutting benefits, or contributing to the fund using union dues.
Union leaders are more interested in ensuring reelection than in ensuring that pension plans are well funded. Whenever it is time to renew collective contracts, they push hard for wage increases and various new benefits, but seemingly always neglect to finance the pension plans. This, of course, would involve passing on some cost to employers, which would not help one’s chances of winning reelection.
NO UNION BAILOUT FOR IRRESPONSIBLE PENSION PLANS
Demand Congress STOP the UNION BAILOUTS - Fax Congress NOW
The unions have made their bed. Let them sleep in it. Their inability to finance ridiculous pension plans should not create yet another obligation for U.S. taxpayers. Americans have enough on their plate as it is.
With no guarantee of Social Security benefits, there is something brutally unjust about bailing out the unions. Fax your representatives in Congress to make your voice heard. Stop this bill before it ever makes its way onto President Obama’s desk.
Sincerely,
Lawrence A. Hunter, Ph.D.
Social Security Institute
15 Culpeper St.
Warrenton VA, 20186
P.S. We must stop this disgraceful bailout! YOUR FAXES DO HAVE IMPACT. Send Every Member of Congress a Message – SEND FAXES NOW!
socialsecurityinstitute.com/send-faxes-to-congress-now/stop-the-congress-disgraceful-union-bailouts/
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