The IPI calls me a Red for defending pensions. I don’t mind. But Glen Brown explains how our defined benefit pensions benefit the capitalist system.

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Vincent Caruso is a writer and editor for the Illinois Policy Institute.

Ah, let us not forget that defined-benefit pension plans have an economic impact of several hundred billion dollars each year and support several million American workers in their jobs; they contribute over a hundred billion dollars to annual local, state, and federal revenue, while reducing government expenditures; they also provide capital to the financial markets, and they deliver the same level of retirement income as an individual 401(k) type savings account at half the cost as a result of their professional asset management and better long-term investment strategies, particularly during challenging economic times.

Let us also not forget that defined-benefit pensions are associated with far fewer American households experiencing food privation, shelter adversity, and health care hardship and provide a bastion of hope and financial stability for millions of people in this country (The National Institute on Retirement Security).

Instead of annihilating the defined-benefit pension plans, they should be advocated by everyone.

P.S. It is also true that state-funded pensions are less expensive for Illinois taxpayers than Social Security and Illinois taxpayers save hundreds of millions of dollars per year by not paying Social Security payroll taxes for 78% of all active employees in the five-State-managed plans.

-Glen Brown

9 thoughts on “The IPI calls me a Red for defending pensions. I don’t mind. But Glen Brown explains how our defined benefit pensions benefit the capitalist system.

  1. Newly retired teachers: join the Illinois Retired Teachers Association (go to irtaonline.org)–there is strength in numbers. & while you’re at it, join your local unit (for your convenience, you can join the one near where you live, as well–if you taught far away, you don’t have to join the unit near your former school district). I.R.T.A. is THE organization that brought the first lawsuit against SB1–the Pension Killer Bill of several years ago.
    And SB1 was struck down & declared unconstitutional.
    Of course—they’re baaack* (the Sun-Times {or was it the Trib. yesterday?} even suggested re-introducing then-Gov. Quinn’s bright idea, “Squeezy, the Pension Python.”).
    Which is why he was booed off the stage of the IL State Fair…& why he lost to Rauner.

    *They never went away…

  2. Possibly green?…green with envy?…green with greed?…it’s a grinding shade of green…indeed.

    Is Capitalism succeeding and failing simultaneously?

  3. Capitalism is a rapacious and cannibalistic system…as evidenced by Donald J. Trump.

    Trump is the ultimate Capitalist.

  4. A President accused of rape appoints an accused rapist to our Supreme Court…makes me wonder…if,indeed,male dominance and rape are the essential themes of Trump’s reign.

    A rapacious system led by accused rapists…is surprising?…or…was it inevitable?

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