March 23, 2015

Pensioners face cuts thanks to congressional action

Columbus Dispatch - Since Whitley Wyatt retired in 2000 after 33 years as a trucker, he’s collected a pension of $3,300 a month. Now, the 71-year-old says as much as $2,000 of his monthly check is at risk because of legislation passed by Congress last year that is meant to help underfunded multi-employer pension plans bolster their finances by giving them a way to cut benefits for some retirees.

Wyatt, of Washington Court House, said he doubts many other retirees are aware of the risk to their pension as a result of the legislation passed in December as part of a spending bill meant to run the federal government through the rest of its fiscal year. The legislation affecting the retirees was added at the last minute. It is targeted at companies that enter into pension plans with other companies.

There are about 10 million workers and retirees in 1,400 multiemployer plans, according to the Pension Rights Center in Washington. About 150 to 200 plans covering 1.5 million workers and retirees could run out of money within the next 20 years. The measure would affect nearly 48,000 retired, inactive or active workers in Ohio

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