Puerto Rico is in the midst of a serious $70 billion debt crisis, a 45 percent poverty rate and the threat of a collapsing economy, but the U.S. territory shouldn’t be bailed out solely on the backs of its workers and retirees.
The IAM opposes the “Puerto Rico Oversight, Management, and Economic Stability Act” (H.R. 4900), or PROMESA, which would reduce or eliminate labor standards, including the minimum wage, overtime or general compensation levels, and public workers’ and retiree’ pensions.
The IAM believes Puerto Rico’s debt burden must be substantially reduced and can be achieved by refinancing existing debt at lower interest rates and for longer terms rather than restructuring to benefit hedge fund managers.
