Stabenow, Peters and Bipartisan Group of Senators Urge Treasury to Protect Pensions for Thousands of Workers

Statement

U.S. Senators Debbie Stabenow and Gary Peters, along with a bipartisan group of 23 Senators, sent a letter urging the U.S. Treasury Department to prevent the Board of Trustees of the Central States, Southeast and Southwest Areas Pension Plan (Central States Plan) from enacting drastic cuts to hard-earned employee pensions for thousands of retirees. The Treasury Department is required to review the proposed cuts by the Central States Plan and has authority to approve, deny or modify the plan.

"We understand the need to ensure the financial well-being of the Central States plan, but it should not come at the expense of hard working families…We firmly believe these families deserve to receive the full amount of benefits they have worked for, planned for and depend upon," wrote the Senators. "As Congress works to address this issue, we urge Treasury to use its authority to ensure the Central States Plan to cut benefits does not place an unfair financial burden on beneficiaries."

The Central States Plan has proposed benefits cuts as large as 50 to 70 percent. Many of these retirees already live on fixed incomes and could struggle to afford housing, medical care and other basic necessities if drastic cuts are approved. There are 24,000 Central State Plan members in Michigan and over 200,000 members across the country who would face an uncertain financial future if these benefits are cut.

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