Rahmbo's platform: cut pension benefits for current employees, not just new hires

[Hannah Bell]

In contrast to his main rivals in the mayor’s race, Rahm Emanuel has told labor leaders that he favors reducing pension benefits for the city’s existing work force and not just for new hires.

Although Mr. Emanuel has not yet publicly detailed his plan to confront the city’s perennial budget deficits and the severely underfinanced employee pension funds, he told union officials in a private meeting on Dec. 15 that he thought it could be necessary to cut the pensions of all employees, said people who attended the meeting.

Mr. Emanuel made the comments while he was being interviewed by leaders of the Chicago Federation of Labor. That umbrella group for 300 unions has not yet endorsed any of the candidates who will be running in the Feb. 22 election to succeed Mayor Richard M. Daley, who is retiring.

http://www.nytimes.com/2011/01/09/us/09cncpulse.html?_r=1&scp=2&sq=rahm%20emanuel&st=cse


Rahmbo told the truth all right - his hedge fund overlords don't want to pay more than the 15% capital gains tax they have on their income, his Wall Street CEO overlords don't want to pay the tax levels that their counterparts paid from the 50's through the 70's when this country was an economic powerhouse and many economic boats were lifted across economic classes - so middle and working class people must have their pensions reduced.

Here is a question I have. Is he going to try and reduce current retiree benefits too?

Just imagine what will happen when the politicians start slashing retiree pensions by 25%, capping Social Security COLA's and forcing retired people out into the streets in desperation because they can't make their mortgages or bills.

http://perdidostreetschool.blogspot.com/2011/01/theyre-coming-for-your-pension.html


They're already trying to seize pensions in Europe.

http://washingtonexaminer.com/blogs/beltway-confidential/2011/01/europe-starts-confiscating-private-pension-funds

[Angry Dragon]

1. Time to throw him to the curb

[Jack Rabbit]

2. I'm going to enjoy watching Rahmbo go down

. . . as much as I would enjoy the defeat of any screwy teabagger.

[Hamlette]

3. Rahm is running for mayor, he will have NO control over federal taxes like capital gains tax

the problem states and cities have with tax policy is companies and individuals who don't like the taxes in say Illinois or Chicago will move to a state with less taxes.

So, if Chicago raises taxes higher than other areas, it will LOSE money because businesses and ppl will relocate.

It has to be federal.

While I am not supporting cutting pensions, it isn't fair to trash him, as a mayor, for tax policy. It's a very difficult line to walk.

[madrchsod]

4. the problem is there`s no creditable candidate running against him

[Hannah Bell]

5. and *he's* credible?

[madrchsod]

6. nope...

[mopinko]

7. he is inevitable.

for as many people out there that don't like him, i think he is polling at around 70%. there really is no one challenging him.

and as far as the pensions, that is a nasty place to cut, but the city is broke. the housing market in chicago was a prime mover of the economy, and transfer fees and other transaction taxes were a huge chunk of city revenue. i am not defending taking people's pension. i'm just saying cuts will have to be made somewhere.
and as mentioned upthread, he has no input into the federal tax structure AT ALL.

[Hannah Bell]

8. the city isn't broke. you are defending taking people's pensions.

the meme "the city is broke" is a defense of taking people's pensions.

i've seen this movie before.

the federal tax structure has nothing to do with it.

[mopinko]

11. the city is broke

the foreclosure crisis is leaving property taxes unpaid, deflating the value of the property when it was sold, and all but drying up transfer fees which were a real cash cow. at the same time so many city functions are being overwhelmed.
i hope that pensions are the last thing to go. but whoever gets this job will have some dread duties to perform.

[Hannah Bell]

12. since daley won't release the details of the city's income,special accounts or expenditures,

i'm not sure how you know that.

Now, back home here in Chicago, we need to put all the financial details on the table, because teachers got pink-slips this week -- and yet Chicagoans have not seen a clear, transparent and detailed CPS budget. We don’t know the details behind this claimed $600 million deficit, that’s just what we’ve been told.

It’s time for the Board to give citizens all the specifics -- how CPS spends our money, on what and to whom; how the $250 million in TIFs that should go to schools each year are really spent. Chicagoans need to know how charters spend their taxpayer dollars because to date, we have not seen one charter school’s financials. Not one.

http://www.progressillinois.com/posts/content/2010/06/16/chicago-teachers-increasingly-complaining-about-tif.

[mopinko]

13. first of all, your link it about the school systems budget

NOT the city's budget. even tho the mayor has oversight of the schools budget, he doesn't have micro control. he doesn't buy the pencils. the budget is the ceo's problem.
that's a nice blog there, but it is hardly a definitive source. i know the city is broke because i have an outstanding alderman who keeps his constituents well informed. he's also a friend with whom i have shared beers and politics quite a few times. pretty sure it doesn't get any more reliable than that.
the city is broke. and btw, so is my alderman. those same revenue streams- aka the condo market/developers, were his main source of campaign contributions. and i know that because i am on the executive committee in the ward.

see, that's what i love about du. someone may make an argument from a blog quote, but there is always someone here that is at ground zero.

[Hannah Bell]

14. my point was about people not knowing chicago's budget numbers.

chicago schools = part of chicago's budget numbers.

teachers union had to sue.

daley certainly has the power to get budget details to the public and to the union.

i'm not just talking about tif and your alderman's campaign contributions are irrelevant to the point.

"We bring you the top ten richest Chicagoans, who made their fortunes in everything from media and real estate to toys and candy. As a frame of reference: you know that massive statewide budget crisis people are always talking about (or trying to)? The assets of the top four people on this list, pooled together, could pay the entire state's $13 billion deficit."

http://www.huffingtonpost.com/2010/03/16/chicagos-richest-people-t_n_501207.html?slidenumber=fstKl4qdVwQ%3D&slideshow#slide_image


The following companies have headquarters within the Chicago city limits:

Aon Corporation (ranked #298 on the 2010 Fortune 500 list)
A.T. Kearney
Bally Total Fitness
Boeing (ranked #28 on the 2010 Fortune 500 list)
CareerBuilder
Chicago Board Options Exchange
CME Group
Chicago Stock Exchange
Citadel Investment Group
Classified Ventures
CNA Financial (an affiliate of Loews Corporation)
Diamond Management & Technology Consultants
Encyclopædia Britannica, Inc.
Equity Office Properties Trust
Exelon (ranked #134 on the 2010 Fortune 500 list)
GATX Corporation
General Growth Properties
Global Hyatt
Hartmarx
Hostway
Integrys Energy Group
InterCall
Jones Lang LaSalle
Kerasotes Theatres
Koval Distillery
La Petite Academy
Magnetar Capital
Merisant
Metal Management
Midway Games
MillerCoors
Morningstar, Inc.
Morton Salt
National Stock Exchange
NAVTEQ
Northern Trust
Old Republic International
Orbitz
Playboy Enterprises
PTI Securities & Futures
Quaker Oats Company, a unit of PepsiCo
RR Donnelley (Ranked #240 on the 2010 Fortune 500 list)
Ryerson, Inc.
ShoreBank
Skidmore, Owings and Merrill
Smurfit-Stone Container (Ranked #374 on the 2010 Fortune 500 list)
SSA Global Technologies
SymphonyIRI Group
Telephone and Data Systems Incorporated
Tootsie Roll Industries
TransUnion
Tribune Company (Fortune 500)
True Value
UBid
United Airlines (Corporate Offices) (Ranked #140 on the 2010 Fortune 500 list)
Unitrin Inc (S&P 400 MidCap, S&P 1500 Super Comp)
U.S. Cellular
USG Corporation (Ranked #458 on the Fortune 500)
Whittman-Hart
Wilson Sporting Goods
World Book Encyclopedia
Wm. Wrigley Jr. Company

http://en.wikipedia.org/wiki/List_of_companies_in_the_Chicago_metropolitan_area



state of illinois finances itself with a FLAT income tax.

[eilen]

9. Well hell, I'm broke

can I stop paying out sales taxes and taxes for the school and the town? I thought not. People paid into their pensions, their property taxes and state income taxes-- it isn't the employees fault the city mismanged and underfunded their pension fund.

There is no institution or entity left in this country left with any integrity.

[mod mom]

10. I hope Patrick Fitzgerald takes a close look at him.

:mad: