Teamsters pension crisis sapping Hoffa’s support, power

[Geee]

Daily Caller:

International Brotherhood of Teamsters general president Jimmy Hoffa Jr.’s response to his union’s pension crisis is sapping Hoffa’s support among Teamsters members, according to insiders.

The International Brotherhood of Teamsters is one of the forces lobbying Congress for legislation based on the National Coordinating Committee for Multiemployer Plans’ report “Solutions, Not Bailouts.” The report urges new congressional legislation to allow “deeply troubled” funds to cut employees’ pensions.

The Central States Pension Fund, which serves Teamsters members across the country and which also happens to be “deeply troubled,” has joined the Teamsters in lobbying for the new legislation. Insiders believe that the Fund plans to make across-the-board pension cuts.

[Valin]

Daily Caller:

International Brotherhood of Teamsters general president Jimmy Hoffa Jr.’s response to his union’s pension crisis is sapping Hoffa’s support among Teamsters members, according to insiders.

 

More Here & Here

[Valin]

It is not just Union (public or private) pension plans.

 

IMF Piles On: Pensions Are in Danger

4/17/13

 

Government reports, private analysts and the media all see trouble ahead for pension plans; now the IMF is joining the chorus. The organization’s new Global Financial Stability Report warns that public pension funds, along with life insurance companies, have been loading up on dangerous investments that have left them vulnerable to collapse.

 

The IMF report adds an interesting wrinkle to this story, exposing the Fed’s role in driving fund managers to alternative investments. The WSJ * reports:

 

Returns from traditional investments and contributions have dwindled during the recession. And as the Federal Reserve lowered interest rates to try to revive growth, those firms have been unable to match their funding levels with future liabilities. [...]

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