Grassley Calls For Review Of Labor Department's Role In Sinking Teamster Pension Fund

As tens of thousands of current and retired Teamster members face pension cuts ranging between 20% and 70%, Sen. Chuck Grassley [R-IA] is asking the Government Accountability Office to review long-standing federal oversight of the failing Teamsters Central States Pension Fund.

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More than 30 years ago, when the Teamsters’ pension plan was used as the “mob’s piggy bank,” the U.S. Department of Justice department stepped in to give oversight of the pension fund to the Labor Department (DOL).
However, as the plan has been faltering for many years, Grassley states the DOL has not “done enough to prevent a major failure of the fund that could mean a big financial hit for retirees in Iowa, Nebraska and elsewhere around the country.”

Citing concern that, should the Central States Pension Fund (or another critically-funded plan) fall into insolvency, the Pension Benefit Guaranty Corp.—the federal program established to protect workers’ pensions—would be put at risk of failure as well.
“While Central States is not the only multiemployer pension fund that is facing severe funding issues,” Grassley wrote, “what is unique is the role the federal government has played in the operations of the Fund since at least 1982.”
The full copy of Grassley’s letter is below.
Related:

• PBGC, The Federal Insurance Plan Protecting (Union) Pension Plans, In Danger Of Collapse
• [Video] Teamster Retirees Blame Government and Trustees for Mismanagement and Cuts
• Big Labor Bosses Backed Pension “Reform” Cutting Retirees’ Pensionst
• As Teamster Retirees Face Huge Cuts, These Pension Executives Are Raking In Big Bucks

Sen. Grassley Letter Calling For Review Of DOL's Oversight Of CSPF