Teamsters Pension Fund in"RED ZONE" - They need your AA AMT Money!

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Survey Reveals Most Teamster Pension Funds in “Red Zone”





January 24, 2011: Wall Street greed and the corporate attack on unions has triggered a crisis in our pensions.

Teamster officials didn’t cause this crisis. But they have a responsibility to put forward a plan to address this problem and defend our pensions.

A survey of 18 Teamster multi-employer pension funds, including all of the largest funds and several smaller funds in the East, reveals that all but one are in either “critical” or “endangered” status.

Most funds are in the so-called “red zone” of critical status, including a number of funds managed by Hoffa’s running mates for the General Executive Board.

Teamster leaders are not responsible for the pension crisis, which was triggered by Wall Street greed, the financial collapse, and the corporate attack on unions.

But they do have a responsibility to put forward a plan to address the problem, defend Teamster pensions, and build Teamster power. Our pension funds are an integral part of our union’s strength and our ability to organize and grow.

On that score, we have seen very little from the Hoffa administration.
Hoffa’s Team in the Red Zone
Some of the pension funds surveyed include the New Jersey Local 469 fund, which is in critical status. The Chicago Local 727 fund is 70 percent funded. The Philadelphia Area Fund is in seriously endangered status, with 64 percent funding. The Cleveland Local 507 fund, and the New York Local 210 fund are in critical status. The New England Teamsters Pension Fund, the union’s third largest, is 59 percent funded and in critical status.

Of the 18 funds surveyed, most are in the red zone, including statewide plans in the East such as the Virginia and Upstate New York plans. Four are in endangered status (yellow zone), including the Chicago Local 705 Fund, the Chicago Local 710 Fund and the Central Pennsylvania Fund.

The problem is widespread. No one should blame the individual Teamster officers and International vice presidents associated with those funds for the funds being in trouble: the goal should be a Teamster plan to deal with the overall problem.

The most troubled fund of all is the big Central States, Southeast and Southwest Areas Fund, covering 25 states. It is 58 percent funded, in critical status, and its director, Thomas Nyhan, told a Congressional hearing last year that it will be insolvent in 10-15 years without help. That situation cries out for a plan from the International leaders, who are busy dodging the issue.

The Failure to Protect Teamster Power
Our flagship fund in serious danger? Pension cuts spreading? How did that happen?
First off, James Hoffa and Ken Hall cut a deal with UPS in 2007 to give away the Central States Fund, to give UPS control of the pensions. We struck in 1997 to stop UPS’s pension grab, which killed it for a decade. Then Hoffa and Hall gave it away without so much as a skirmish, let alone a fight.
Second, the failure to organize and protect Teamster power in trucking led to the decline of major contributors to Central States and many other pension funds. Today YRCW, which has been the largest contributor to many plans, contributes zero. In June it is supposed to resume contributions, but at a mini-level of $1.75 per hour. And UPS Freight contributes zero, because a deal was cut to let them off the hook altogether.
This is the fruit of a failure to protect Teamster power in trucking and in other Teamster core industries. Hoffa’s freight division leaders’ only plan is to dodge the issues, sell concessions, and blame someone else.

If YRC doesn’t recover, we could see major pension fund failures, especially in plans such as New York Local 707, New Jersey Local 641, the Baltimore fund, and others which are already in the red zone.
The Exception:
One fund is not endangered. The Western Conference of Teamsters Pension Fund is in the green zone, with 89 percent funding. Why is that?

First off, this fund has maintained a broad funding base of employers. Instead of letting too many employers off the hook, the fund includes the majority of Teamsters in the Western states.

Second, unlike Central States, UPS remains a participant. And UPS part-timers are also participants in the fund as well, an ideal demographic group for a pension fund. Only the Upstate New York and New England funds include UPS part-timers outside the west.
The Western Conference plan has, however, imposed steep cuts in benefits which hurt those retiring in the short run. Like too many of our funds, the employers have 50 percent of the votes on the board but seem to have majority control.

Needed: A Plan of Action

The pension crisis is real. It is the job of the International Union leadership to put forward a plan of action to defend pensions. It starts with rebuilding Teamster power, strategic organizing, and helping locals bargain to protect pensions.

No more corporations should be allowed to exit a Teamster plan without a fight backed by the power of the Teamsters Union. The days of slipping out the back door must end.
The International Union needs to draw Teamster members, retirees and community allies into this fight. Spreading a little Teamster money around Washington has yielded no results. It’s time to turn up the heat and tap real Teamster power to protect our members and retirees.
 
Teamsters are not interested in providing you with superior representation.
And they are not interested in building a Mechanics Only Union.

They are interested in your hard earned money to help bailout their underfunded pension problems though.

Just ask one of your Tulsa based Teamster supporting stooges about this.
 
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Interesting, there is an inspector at TUL that has suddenly became a pro teamster. One of his big issues is that the Teamsters have such a pension.

Besides the article, my question is what would the requirements be for AA mechanics be if the Teamsters acquired representation?

Would we have to turn over our existing frozen pension?

Would there be any entry penalties?

Would ones years of service be counted for the pension?
 
Teamsters are not interested in providing you with superior representation.
And they are not interested in building a Mechanics Only Union.

They are interested in your hard earned money to help bailout their underfunded pension problems though.

Just ask one of your Tulsa based Teamster supporting stooges about this.

WHAT, WHAT, WHAT ???

Are you saying that NOW this campaign is real? I thought is was all a ploy to help the TWU.

Please make up your mind son....
 
Just spoke with the TWU Local 514 Executive Board. I asked about the TWU position in this push by the Teamsters. I was told that the union is aware, however they were not aware where the organizing activity was going on. I told where the active second shift Teamsters were operating. There is no effort at this time on the local level to challenge these activities. Questions such as dual unionism and Brotherhood t-shirts came up, but the e-board member did not have any answers.
 
Interesting, there is an inspector at TUL that has suddenly became a pro teamster. One of his big issues is that the Teamsters have such a pension.

Besides the article, my question is what would the requirements be for AA mechanics be if the Teamsters acquired representation?

Would we have to turn over our existing frozen pension?

Would there be any entry penalties?

Would ones years of service be counted for the pension?

Buck,

I am no expert and admittedly weak on this subject, but this is what I know.

Becoming Teamsters does not automatically enroll you in to any of the Teamster pension funds (don't let anyone else tell you any different. It created confusion and resentment here at UAL). Pension is still a negotiated item. The requirements, or hurdles for entering such a plan might be complicated by the bankruptcy judge and whether or not AA is allowed to default to the PBGC (for all of you, I hope this does not happen).

I can better answer by explaining what happened at UAL.

UAL defaulted on our pensions which went to the PBGC. Our pay out under the PBGC is not the same as what we would have made under our UAL pension and many retired employees had to go get other jobs to make up the difference. There is also NO MORE accumulation. In other words, the PBGC will pay me at the point in time they took over. I will get around 23 years credit for service. I can work another 30 years but still ONLY get those 23 years from the PBGC.

The other limitation is that we can no longer have an employee based defined benefit fund. In other words, PBGC took over from United once and they do not want to do it again. United pension is no longer an option. To enter in to a DB plan again would have to be from an outside group like the Teamsters. The west Coast Conference is well funded and not in danger at all.

We tried to get in to the fund but failed for a variety of reasons. Some were legal set backs, others were financial based on employer contributions and withdrawal penalties, but the saddest reason we have not gotten in to a retirement plan is because we shot ourselves in the foot. We were very close to getting in to the plan when a group of us mechanics started a petition asking the UAL board of directors to stop the process. Sucks to be us I guess.

Now after the merger is complete and let's say we do end up with another pension plan, I will receive credit for working while under that plan in addition to my PBGC funds when I retire. Some plans offer incentives for joining such as two for one credit for certain years but those to are negotiate and determined by the individual plan.

But, like I said, I am no expert. If they are still around, I would ask one of the two Teamster Reps there in Tulsa .
 
Thanks for answering to the best of your ability.

However I couldn't help notice that there are only two Teamsters representatives in TUL.
Are they employed by the Teamsters and members of the TWU? Or are they just attempting to replace the TWU or deflect the possibility of AMFA having an election?

I would caution that the NMB is currently in a fact finding mode concerning representational elections.
 
Thanks for answering to the best of your ability.

However I couldn't help notice that there are only two Teamsters representatives in TUL.
Are they employed by the Teamsters and members of the TWU? Or are they just attempting to replace the TWU or deflect the possibility of AMFA having an election?

I would caution that the NMB is currently in a fact finding mode concerning representational elections.

http://www.teamster.org/aamx

These are two IBT employed guys. Bob was a former UAL mechanic and has always been a very solid union supporter for us. He is a very straight shooter and never BS'd us.

Ask them yourself, Their contact info is listed on the link.
 
So you don't know if they are employees of AA?

I do not know them personally, but I have spoken to both of them in person. Bob was former UAL, and Chris was former Continental. Bob worked in IAD for UA and Chris worked in IAH for CO. They are both now on leave of absence and working full time for the IBT international. The last time I spoke with Bob, he was on our negotiating team and had just accepted the Teamster job. I think it was late last year. You will get no BS from either one of these guys. They are not organizers and will be around long after the election. They each have more than two dozen years with their respective airlines.
 
Stephanie Patiga has opened a teamsters campaign office at the airport hilton room 115.

http://www.teamster.org/content/stephanie-patiga-mom-organizer-visionary
 
I do not know them personally, but I have spoken to both of them in person. Bob was former UAL, and Chris was former Continental. Bob worked in IAD for UA and Chris worked in IAH for CO. They are both now on leave of absence and working full time for the IBT international. The last time I spoke with Bob, he was on our negotiating team and had just accepted the Teamster job. I think it was late last year. You will get no BS from either one of these guys. They are not organizers and will be around long after the election. They each have more than two dozen years with their respective airlines.

Former UAL
Former Continental

Who do they work for now?

Elected or Appointed?

And why were their names listed as attending the TWU/IBT Alliance meeting at TWU Headquarters just weeks before AA filed for Chapter 11?
 
I do not know them personally, but I have spoken to both of them in person. Bob was former UAL, and Chris was former Continental. Bob worked in IAD for UA and Chris worked in IAH for CO. They are both now on leave of absence and working full time for the IBT international. The last time I spoke with Bob, he was on our negotiating team and had just accepted the Teamster job. I think it was late last year. You will get no BS from either one of these guys. They are not organizers and will be around long after the election. They each have more than two dozen years with their respective airlines.

Former UAL
Former Continental

Who do they work for now?

Elected or Appointed?

And why were their names listed as attending the TWU/IBT Alliance meeting at TWU Headquarters just weeks before AA filed for Chapter 11?

TWU informer just loves throwing horse s*** against a wall just to see what sticks.