The United Association of Journeymen and Apprentices of the Plumbing, Pipefitting and Sprinkler Fitting Industry of the United States and Canada (United Association), Mechanical Contractors Association of America, Inc. (MCAA), and Horizon Actuarial Services, LLC have partnered to conduct a study of multiemployer pension plan benefit and contribution levels from the 1970s to today.
The purpose of the study is to educate policy makers about the significant actions that plans have taken to increase contributions, decrease benefits, or both, and to highlight the fact that current active participants are bearing the burden of these changes.
Maintaining active participation is crucial to the survival of multiemployer plans, and policy reforms that place additional, undue, burden on current active participants may further erode the system and diminish benefit security for current inactive vested participants, retirees, and beneficiaries.
The study uses a random sample of seven United Association Pension Plans to show that contribution rates have increased significantly over time while the value of the benefits provided has decreased over time. These changes have disproportionately affected current active participants, and policy makers should be mindful of these inequities when considering potential multiemployer pension reform legislation.
The report can be viewed below.
The purpose of the study is to educate policy makers about the significant actions that plans have taken to increase contributions, decrease benefits, or both, and to highlight the fact that current active participants are bearing the burden of these changes.
Maintaining active participation is crucial to the survival of multiemployer plans, and policy reforms that place additional, undue, burden on current active participants may further erode the system and diminish benefit security for current inactive vested participants, retirees, and beneficiaries.
The study uses a random sample of seven United Association Pension Plans to show that contribution rates have increased significantly over time while the value of the benefits provided has decreased over time. These changes have disproportionately affected current active participants, and policy makers should be mindful of these inequities when considering potential multiemployer pension reform legislation.
The report can be viewed below.
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