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View Full Version : Pension Shenanigans, Democrat Style



SpiderMan
04-21-2004, 12:37 PM
<blockquote><font class="small">Quote t411:</font><hr>

“We've got to do more to protect worker pensions.” – Bush, 8/7/02

Reality
Just four months after touting pension security, Bush’s Treasury Department announced plans to propose new rules that “would allow employers to resume converting traditional pension plans to new ‘cash balance’ plans that can lower benefits to long-serving workers. Such conversions are highly controversial. Critics contend that they discriminate against older workers in violation of federal law” [Washington Post, 12/10/02]
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Actually, they can already do that if they want. Recently my department was acquired by a company with no pension plan. I was fully vested in my old pension plan, and had 17 years' service.

Despite being vested, I was forced to take a lump-sum payout equal to about 6 months' pay. I did not have the option of remaining in the plan, and the (federally-approved) calculations to determine the lump sum give you almost nothing unless you're 50 or older.

6 month's pay is a poor substitute for a lifetime pension plan. BTW, all this occured while Bill Clinton was in his second term, if you want to believe it's administration-related.

SpiderMan