CWA Statement to Members Regarding Recent Introduction of Pension Legislation
February 2, 2011
Senator Sweeney has introduced legislation to make several changes to the pension system. Although the bill was introduced, the bill language is not finalized and is not publicly available until next week.
CWA is part of a united front with every other public sector union which is reviewing the bill and talking to the legislature about the bill. There is no agreement on the legislation – but we are working very hard to have input on the legislation at every opportunity.
We are defending a system deeply underfunded by years of employer neglect, and we know there will be difficult choices and ultimately a serious fight to get legislation passed and signed that does not shift all costs to workers. We need to ensure that the state pays what it owes and that the plan does not become so underfunded that it becomes unstable. (Payments are currently being made from principal. That puts the plan in the RED zone.)
Within the next week, we expect full details of the bill to be available. We are scheduling stewards meetings and trainings, but we also will distribute information widely through our email and worksite networks as soon as we can.
We did not choose this time and we did not choose this bill, but it is clear we have to react. CWA has retained a national actuarial firm to study the current system and we will make fact and data-driven decisions with our leadership and membership to secure the defined benefit system’s future.
Please stay informed by visiting your Local’s website, talking to a shop steward, and signing up to receive information updates to your personal email.
u** Please distribute to all stewards and members **
January 7, 2011
To: All CWA 1036 Members
There was some information out yesterday that Senator Sweeney is issuing a proposal on pensions. Unfortunately, some news reports suggested there is "a deal" with the Unions and Senator Sweeney - this is simply not the case.
The Senator has spoken with leadership of several public worker unions about this proposal and we are reviewing it and awaiting more details.
His proposal recognizes, as we do, that any reforms must begin with the State meeting its funding obligation. Without serious reform requiring State funding, we know the overall health of the system will continue to suffer.
We appreciate Senator Sweeney's effort to work cooperatively on this serious problem. Any reforms must begin with the State meeting its funding obligation, must be supported by data and must have a positive impact on the system itself. We will review this proposal for that criteria and Locals will keep members informed.
A copy of a news article referring to this proposal is here: http://www.bloomberg.com/news/2011-01-06/sweeney-no-pension-changes-unless-nj-pays-up.html
