Waste Management: Teamster Talks Fail, Union's Deteriorating Pension Fund Remains Primary Issue

[Omaha Steve]

http://www.marketwatch.com/news/story/waste-management-teamster-talks-fail/story.aspx?guid={EF325307-1915-4B58-A743-9EA4AEC2E1CF}&dist=hppr

Aug. 31, 2008
MILWAUKEE, Aug 31, 2008 /PRNewswire via COMTEX/ -- Waste Management officials said a ten-hour meeting on Saturday under the supervision of a federal mediator with representatives of Teamsters Local 200 failed to produce an agreement to end the current strike in the Milwaukee area. Union representatives refused Waste Management's request to withdraw from the Teamster's failing Central States Pension Fund despite their acknowledgement the Fund is posting record losses.

According to spokesperson Bill Plunkett, "The company is extremely disappointed the Teamsters failed to consider pension fund alternatives that would protect their members' retirement security. Union officials appear more concerned about saving a sinking pension fund than protecting the pensions of Waste Management employees."

The meeting ended with union representatives inexplicably seeking a September 5 meeting in Chicago. The company is working with the federal mediator in an attempt to schedule a future meeting in Milwaukee where the company, the mediator and union are located.

The security of Waste Management worker retirement benefits, currently controlled by the Teamsters-managed multi-employer Central States Pension Fund, remains the key issue for the company, Waste Management officials said.

The company is seeking to withdraw from the Central States Pension Fund, which is currently in "critical status" due to investment losses and reductions of workers paying into the fund. Waste Management has offered the Teamsters alternative proposals that would secure and protect Waste Management employees' retirements.

Waste Management is prepared to protect its employees' retirement by withdrawing from the pension fund, making them whole to date, and putting them in another mutually-agreed upon retirement vehicle going forward.

FULL story at link.