Pensions Cuts Remain in Cross Hairs for Retirees

The pensions of current retirees could be drastically cut if Congress does not pass the Keep Our Pension Promises Act.

Historically, when an American worker set aside a part of his or her wages towards their pension, they had confidence that it would be there when they retired. Now Republicans in Congress have jeopardized the pensions of current retirees and a dangerous precedent has been set.

Cutbacks in retiree benefits, except in plans completely out of money, had been prohibited under the Employee Retirement Income Security Act (ERISA) for more than 40 years. Last year, Congress passed the so-called Multiemployer Pension Reform Act (MPRA), which allows “deeply troubled” plans to cut the pensions of current retirees.

The IAM has joined other unions, the Pension Rights Center (PRC) and advocacy groups to support legislation that would restore the anti-cutback rule for current retirees by closing tax loopholes.

The Keep Our Pension Promises Act, (H.R. 2844/S.1631), legislation proposed by Rep. Marcy Kaptur (D-OH) and Sen. Bernie Sanders (I-VT) would ensure a secure retirement for millions of Americans.

“It’s critical that we pay attention to what the Republicans did last year and understand what’s at stake for pensions in America,” said retired IAM General Secretary-Treasurer and current PRC Board Member Robert Roach Jr. “We will not roll over while retired Americans have their pensions cut when they need them most.”

The PRC has initiated a website as a resource for retirees in the Central States Pension Fund who are in immediate danger of having their benefits drastically cut.

Click here to stay up to date on the PRC’s involvement to help the retirees in this fund.