3 ms·
Completely wrong. The requirement is to pre-fund their unique retiree health care benefit, not their pensions. (Everyone has to pre-fund pensions.) This spec
by newbie12 14y ago
Completely wrong. The requirement is to pre-fund their unique retiree health care benefit, not their pensions. (Everyone has to pre-fund pensions.) This special health care benefit was "pay-as-you-go" and has over $40 billion in unfunded liabilities. Without pre-funding, these costs will fall on the taxpayer as USPS goes bust in the next decade or two
- rohansingh 14y agoYou're correct in that it was healthcare, not pension. No wonder I was having trouble finding articles that I was sure I'd read on this. That said, the requirement, which seems to be that the USPS must fund healthcare benefits 75 years in advance, is still patently ridiculous. It is a manufactured crisis, in part.
- newbie12 14y agoUSPS needs to fund the promises it is making to its employees, especially when those promises will eventually cost nearly $50 billion. The retiree health care benefit is unique to postal workers, which is why USPS claims the burden is unique, but that's a pretty dishonest description of the situation.
- ahi 14y agoThey are currently prepaying health care benefits for workers who haven't been born yet. It's absurd. Congress went from one extreme to the other.