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PENSION REPORT- By Wray Young
Through the fine efforts of many of our members and those of other active and retiree organizations, we were successful in averting the takeover of the City funding polices of our Pension Fund. The Common Council now has the ability to change those policies in the future, but those changes must be approved by a majority vote of the Pension Board. With the City of Milwaukee going through hard financial times, along with many other cities across the nation, I strongly believe that the Common Council will look at interfering with the current Pension Fund policies on a regular basis. At this time, our Pension Fund has over $4 billion, and the City would sure like to utilize that strength to ease their financial burden. What will come next is unknown to us, but trust me, something will be coming down the pike. One concept that has been brought up for discussion by the Common Council is the possibility of closing our Pension Fund to new hires. One cannot say at this time whether that would be good for current retirees or not. Much depends on what direction the stock market goes, and if the City continues to make their normal contribution, which they are obligated to do. If the City closes the Pension Fund to new hires, the stock market remains stagnant or dips downward, and the City does not make its normal contributions, our Pension Fund would deteriorate over time and become underfunded. We must remain vigilant as to the actions of the City, and become involved if they attempt to “tamper” with our Fund. Pay close attention to our website www.milrpa.com for future pension info, and consider joining the one organization that fights for our rights, the all City Milwaukee Retirees Association. Call Frank Zauner at 414-964-4124 for an application. We need to join forces with all Milwaukee Retirees to protect our pension!
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