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.
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.
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