As far as the pension plan. It is mismanaged. Back in 2009/2010 when the stock market was south, the dopes had 33% of our funds in stocks. In the last year, when stocks have done super, they only had 12% in stocks. We didn't get any bounce at all.
Brother Rezler says that we will know what the pension fund will pay out, that is fake news. Nobody knows. Either Pat is being intellectually dishonest or he is just ignorant.
The reality is that the last time that the pension was cut, the IAM Trustees said that it had to protect the future of the plan and cut the benefits when the plan was at 99.7% funded and 97% at the announced time.
Now, the pension fund is only 89% funded as of December 31, 2016. It's lowest point in the last 20 years. The actuary smoothed out figure is 95.9% which averages fluctuations and had a valuation date of January 1, 2016 (over 1 year ago). The fair market value is a more current snapshot, i.e., December 31, 2016 and is only 89%. So, we can be certain that the slope is downward. Oftentimes, fluctuations may be upward or downward from any given point in time 'snapshot' value. However, when you look at the plan documents and carefully review them off of the Plan 5500 documents, you have to wonder why the Trustees haven't already acted upon the plan a 3rd time since 2003 and reduced benefits. I believe it is because of International elections but that is only a guess. Thus, the plan has not only gone from 108% funded in 2010 after some changes, to 89% in 2017. A cut is coming, yet Brother Rezler pre-empts a certain cut by suggesting that any member will know how much the pension will pay out. Really? Crystal balls anyone? Nobody knows. A very fair assessment would be to start with the current benefits and assume something much much less.
Due to the stealing and robbing of our money by the IAM trustees, the AGC's (who have 2 pensions btw) talk stupid **** and talk down to people and say "Hell, we will just ask the company to put more money into your IAMPF so it can get back up to where it was." The problem with that is that when the company dumps more of OUR money into the IAMPF, the IAM steals more. I'm not referring to the $1,600 bottles of wine and Martha Vineyard $250,000 parties on our dime, but referring to the IAM Trustees just cutting our benefits again. So they are stealing our money from the company. And there are no guarantees other than suspensions, cuts, offsets, etc.
The problem is two fold.
1. Baby boomers. Even if the TWU drops 16,000 peeps in, many are 50+ years old. Although their pension amount would be small, they will be collecting in another decade. We have to organize more groups but the IAM doesn't know how to organize. The last 3 big campaigns have been a complete disaster because of guys who have no idea what on earth they are doing. At Delta, 6,000 cards were forged and the FBI has an ongoing investigation due to the NMB contacting the Justice Department.
At Boeing, SC, they only got 22% of the vote. Dude's, you can get 22% if you don't even make any phone calls. LMAO. And at JetBlue, they have insisted on blowing our money and causing a complete disaster. And they don't care because if they did organize JetBlue, management would simply contract out all stations immediately or the IAM maybe could pimp them for dues and sign a awful contract for JFK like they hosed FLL at spirit. So Sad. So, the IAMPF is not going to tap into new members, it has to try to get current members in the plan. But the math doesn't lie. People are retiring and the age is getting older.
2. Interest rates. Did any of you read the 5500 plan documents? I didn't think so. The plan assumes a 7.5% interest rate. The rate isn't half of that now. The problem moving forward is that the plan assets is trending "Steeply" downward as the country's interest rates are half of 7.5% and no relief in sight other than maybe a 1/4 pt in July. So, the problem is a severe and present economic one that isn't just affecting the IAM Pension fund but all multi employer plans.
Deal me out!