While many multi-employer pension plans -- like those associated with SMART -- have stabilized following the financial crisis, a minority of plans -- covering about one million total participants -- face serious funding problems and could run out of money within the next 15 to 20 years. Additionally, the Pension Benefit Guaranty Corporation (PBGC) -- basically the safety valve for troubled plans -- expects its multi-employer insurance program to run out of money within a decade.
It's daunting stuff. It's something our SMART family made great sacrifices to resolve in our house years ago.
Recently, a Joint Select Committee of Congress was formed to find solutions to assist those troubled plans and to address the PBGC funding crisis.
A draft plan was circulated that punishes the multi-employer pension plans that took necessary steps years ago to address the long term solvency of benefits set aside for current and future members -- such as ours. Plan participants were asked to make great sacrifices for the sake of solvency. Those sacrifices will be ignored if this congressional committee moves forward with the current draft, as plans such as ours could be asked to underwrite the financial shortfalls of other plans.
The time has come to make sure Congress hears you loud and clear. Click on the link below to begin.