Inaction In Action on Multiemployer Plans

After decades of allowing multiemployer plans to follow their own rules and/or whims when it came to funding we have this staged event to plant more bailout seeds:
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After skimming through the testimony (and even that was painful) this second brief clip summed it up for me:


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No villains here, except for those who would question a bailout and are painted that way. No blame for regulators, actuaries, trustees, the media, and even trusting participants. Bail everyone out before a bigger mess gets its hearing.

Full hearing:
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12 responses to this post.

  1. Posted by skip3house on March 7, 2019 at 6:26 pm

    But, no problem paying the stock holders, just enhanced by not funding pensions. Let pensions be funded better by putting liens on all stock values, and other property, to at least increase funding some. Identify those who all along knew pension funds were drained by need to maximize stock values and CEO pay,and drain their assets…. to better keep promises to workers blinded by just promises with no way of understanding actual under funding. Businesses did this and will have to pay the piper. Workers will still be shorted for not demanding their pension systems be understood.

    Reply

    • Posted by NJ2AZ on March 8, 2019 at 12:46 am

      I’ve no problem blaming the big business boogeyman when they deserve it, but it seems like most of these MEP problems are attributable to poor union leadership?

      Reply

      • Or;

        “Which means that, to a real degree, however unpleasant it may be to contemplate a bailout, Congress owns this problem.”

        https://www.forbes.com/sites/ebauer/2018/11/27/a-tale-of-two-multi-employer-plan-systems/#33f47edd2484

        Reply

        • Posted by skip3house on March 8, 2019 at 6:18 am

          Thanks Anony. Reminded of isolation process to Wendell Potter after ..
          Deadly Spin: An Insurance Company Insider Speaks Out on How Corporate PR Is Killing Health Care and Deceiving Americans, Paperback September 13, 2011

          Reply

          • Posted by skip3house on March 8, 2019 at 6:38 am

            Mr Bury’s ‘ Bail everyone out before a Bigger Mess gets its hearing.’ titled Public Pension Crisis’ is important here….and its comments following are fascinating.

        • Posted by stanley on March 8, 2019 at 8:38 am

          “Which means that, to a real degree, however unpleasant it may be to contemplate a bailout, Congress owns this problem.”

          But it doesn’t. Bauer’s posts are sometimes interesting, but she is not an oracle. The unions took the member’s money and failed in their duty to look after the membership. So, we have the union membership failing to protect its own interests and the union failing to live up to its responsibility. (Bet you that the union employee pension plans are adequately funded.)

          Kline-Miller was passed in 2014 and little to nothing was done for years. Feinberg found the Teamster plan inadequate in May of 2016 and the Teamster Union chose to not propose a new acceptable plan. Union retirees with any smarts put their own adjustment plan into action or already had one going for years. After all a blind man could have seen all of this coming decades ago.

          This country isn’t rich enough to fund every kind of foolishness. The foolishness has to stop somewhere before we are all on the ground kicking and screaming.

          Reply

        • Posted by Tough Love on March 8, 2019 at 9:01 am

          Stephen Douglas/Earth ……….. why not post comments under your own name/handle ?

          Reply

          • Posted by PS Drone on March 8, 2019 at 3:33 pm

            I guess the assorted public sector unions started paying him again to go onto these types of typically anti-union message boards to make non-stop rationalizing comments in support of their never-ending whining and greed.

    • Posted by geo8rge on March 8, 2019 at 1:55 am

      I would have thought the rapid rise in the cost of healthcare benefits was the biggest unforeseen problem. It is probably also the driver behind the public pension plans problems too.

      “paying the stock holders” It might be the bond holders when there is a ‘private’ bankruptcy.

      Reply

  2. Posted by Tough Love on March 8, 2019 at 9:10 pm

    Off topic ……………..

    WONDERFUL decision, 1 Public Sector “moocher” shut-out …………. 100,000 to go.

    https://biglawbusiness.com/n-j-private-attorney-not-eligible-for-state-pension-plan

    Reply

    • Posted by Anonymous on March 8, 2019 at 10:19 pm

      Not really a moocher by your own definition. More like a connected politician. Shocked his own (attorneys serving as judges) ruled against him. Glad though. Usually the game is to work part time and then grab a full time appointment for a few years than ride off in the sunset. Worked for Dana Redd.

      Reply

  3. […] up on last month’s Congressional hearing on the multiemployer plan crisis legislators had three questions of the American Academy of Actuaries (AAA) which I […]

    Reply

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