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Unions help people, destroy corporations, best thing for china?
Another casualty of pension funds?http://www.newsmax.com/Newsfro%E2%80%A6
Congress passed a law requiring the U.S.P.S. to fund all employee pensions, since this has been enacted the postal service has been in deficit ruin.
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the pensions in Detroit gone because of bankruptcy.
5 Answers
- curtisports2Lv 78 years agoFavorite Answer
You are mistaken. Congress passed a law requiring USPS to pay an estimated 75 years worth of health care in 10 years, something no other federal agency does and NO private company does. USPS pensions are funded by contributions from both USPS and USPS employees. And, 'pension' is the wrong word for it. A pension is something the company provides you at no cost to you, What USPS employees get is not a pension, it's an annuity. Annuity payments are based on a formal that factors length of service and has minimum age requirements. USPS contributions to these plans is NOT what has caused the financial problems, it is the healthcare pre-funding of $5+ billion a year starting in 2007, and management panicking and doing all sorts of misguided spending on processing systems that don't work the way they were promised. Big $$$ for the contractors, big bonuses for USPS management, the workers get hosed.
- Eliot KLv 78 years ago
1) The Detroit pensions are pretty well protected under bankruptcy. There may be some loss, the they are by no means gone.
2) Detroit has lost 90% of its jobs, and about 50% of its population. Many areas have extremely high vacancy rates, but despite blocks with mostly empty houses, Detroit still has to pay for refuse collection, street lighting, street maintenance, sewage maintenance, and so on. Thus, the financial problems of Detroit were actually caused by the auto business (run by Republicans!) failure to keep up with Japanese design, marketing, and quality.
2) The post office cannot be run like a business - they are required to provide set services, even if those services lose money.
3) Unions that get fair treatment and wages for workers force businesses to compete on a real basis: quality of product, quick innovation, efficient manufacturing, warehousing, and shipping, product design, customer service.
Many poor business could be competitive if they could lower wages sufficiently, or even employ slave labor. Raising wages in China would help US manufacturers, because then they could compete on quality, rather than on who can pay the least. However, if you think US companies are unable to make products better than China makes, then come right out and say it.
- ?Lv 78 years ago
OOPS! Did we get caught being a little TOO greedy with our hand in the cookie jar of the American tax payer?
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- Anonymous8 years ago
You are completely insane and unable to understand what you are reading.