I get a warm, fuzzy feeling when I see...

[Justlisten2]

...big business getting treated so well. This helps me sleep at night.

Posted on Sun, Apr. 11, 2004





Bush signs $80 billion in pension relief

Reuters


CRAWFORD, Texas - President Bush yesterday signed into law a measure intended to save U.S. companies more than $80 billion in pension contributions over two years. The signing came just days before many firms make quarterly pension payments.

Businesses lobbied hard for the bill, which would provide about $80 billion in pension accounting relief through the end of 2005 for 31,000 companies with traditional "defined-benefit" pension plans. Those cover about 35 million workers and promise a specific payout based on salary and service.

Many traditional pension plans are underfunded because of the weak stock market the last few years and current low interest rates, and companies are struggling to keep up with the payments.

The relief comes from the revision of a formula for calculating pension contributions.




Share the joy!

[karl k]

...big business getting treated so well. This helps me sleep at night.

Posted on Sun, Apr. 11, 2004





Bush signs $80 billion in pension relief

Reuters


CRAWFORD, Texas - President Bush yesterday signed into law a measure intended to save U.S. companies more than $80 billion in pension contributions over two years. The signing came just days before many firms make quarterly pension payments.

Businesses lobbied hard for the bill, which would provide about $80 billion in pension accounting relief through the end of 2005 for 31,000 companies with traditional "defined-benefit" pension plans. Those cover about 35 million workers and promise a specific payout based on salary and service.

Many traditional pension plans are underfunded because of the weak stock market the last few years and current low interest rates, and companies are struggling to keep up with the payments.

The relief comes from the revision of a formula for calculating pension contributions.




Share the joy!

who complain about their pensions dwindling when myself and millions of others don't have that "benefit" anyway. We are responsible for our own retirements, take some responsibilty for your own. You'll sleep better in doing so.

[bturk667]

Should not our President worry as much, if not more, about Social Security? It seems that this will effect all of us. Also, were does this 80 billion come from?

[mtrycraft]

Should not our President worry as much, if not more, about Social Security? It seems that this will effect all of us. Also, were does this 80 billion come from?

What's 80 billion more on top of a 7 trillion debt? Everyone is comfortable with an ever increasing debt as they figure it is peanuts compared to the GNP. I hope they don't do their personal finances the same way, or do they? Maybe that is the problem.

[piece-it pete]

Hanged if you don't .

The issue behind this is very clear to me, with all the crap the Cleveland steel mills have gone through lately.

I should go on record: I really don't like the idea.

But. But but but. The mills here are operating again, and if the pensions weren't bailed out that wouldn't be happening. Steel in particular is a nat'l defense issue. And a large chunk of this current money's headed to the airline industry.

Lots of buts. Old union guys with nothing, nothing at all. No retirement, no medical. I'm not even THAT heartless! Have another can of dog food?

Bruno?? Anti-union? 'Cause that's how it would be portrayed. Pay for pensions? Corporate bailout. Don't pay? Anti-union.

BTW, every time the GOP brings up SS the Dems run scare commercials saying we're going to kill it. Every time.

God help us if the domestic auto industry goes kaput.

Pete

[mtrycraft]

Hanged if you don't .

The issue behind this is very clear to me, with all the crap the Cleveland steel mills have gone through lately.

I should go on record: I really don't like the idea.

But. But but but. The mills here are operating again, and if the pensions weren't bailed out that wouldn't be happening. Steel in particular is a nat'l defense issue. And a large chunk of this current money's headed to the airline industry.

Lots of buts. Old union guys with nothing, nothing at all. No retirement, no medical. I'm not even THAT heartless! Have another can of dog food?

Bruno?? Anti-union? 'Cause that's how it would be portrayed. Pay for pensions? Corporate bailout. Don't pay? Anti-union.

BTW, every time the GOP brings up SS the Dems run scare commercials saying we're going to kill it. Every time.

God help us if the domestic auto industry goes kaput.

Pete

I am not up on this issueWhy is there such a defecit in th efunds? Is it similar to the Chrysler borrowing and repayment many moons ago?

[piece-it pete]

But I know these companies aren't going to pay anything back. Take LTV steel - bankrupt.

I can understand the bailouts to some degree. What they did in LTVs' case is basically guarantee a reduced level of benifits to the retirees, taking the (huge) liability, so that someone, anyone , would buy LTV and get it running again. It worked, basically a huge subsidy to the steel industry, with the bonus of helping the former employees. The feds have done this elsewhere, as well.

It has real abuse potential to me, though. Corporate welfare is one. Union welfare is another. Why worry about driving your company out of business if it just doesn't matter?

Then another but. We're competing with companies that DON'T have these legacy costs. It's a way (that hasn't come to the WTOs' attention) of helping us keep jobs. But still, I just don't trust politicians. And big business has such deep ties to both parties.

Pete