Press release from the Taxpayers Protection Alliance; January 4, 2012:
(Alexandria, VA) – The Taxpayers Protection Alliance (TPA) today denounced the International Brotherhood of Teamsters for wasting nearly $10,000 in union member dues on a billboard in Memphis, Tennessee while their pension fund goes broke and may have to be bailed out by taxpayers. A picture of the billboard can be found here.
“Instead of spending its money on shoring up the failing Central States Pension Fund (which may ultimately be bailed out by taxpayers), the International Brotherhood of Teamsters would rather waste nearly $10,000 in union dues on a billboard,” said Taxpayers Protection Alliance president David Williams.
According to the Memphis Commercial Appeal, the Central States Pension Fund’s own Executive Director, Thomas Nyhan, testified to Congress in 2010 and said, “If no action is taken, the fund is projected to be insolvent in the next 10-15 years.”
Said Williams, “I don’t think putting up a billboard is the kind of action that Thomas Nyhan or rank and file Teamster members believe will save the Central States Pension Fund.”
Recently, the Washington Post reported that the Pension Benefit Guaranty Corporation, the government agency that pays a portion of benefits when a Pension Fund becomes insolvent is facing a $34 billion deficit (read the article here). The PBGC’s Director, Joshua Gotbaum, said “PBGC may face for the first time the need for taxpayer funds.”
“When The Teamsters Central States Pension Fund is $14 billion in debt, and the government agency protecting Central States is $34 billion in debt, it’s pretty clear that one way or the other, American taxpayers are going to get the bill,” concluded Williams.