White House announces $5.7B to shore up pension fund for New England Teamsters

MANCHESTER, N.H. —

The New England Teamsters pension fund is getting a major cash infusion from the American Rescue Plan Act to guarantee the retirements of more than 72,000 union members.

In a visit to New Hampshire, the White House ARPA coordinator announced that the pension fund would receive $5.7 billion.

"So, when I get those calls, I'm going to be able to tell them, 'Don't worry, we're going to be fine for a long time to come,'" said Larry Fleury, of the New England Teamsters pension fund.

The teamsters covered by the spending include freight drivers, warehouse, package delivery, brewery and bakery workers, including 6,100 in New Hampshire. White House ARPA coordinator Gene Sperling said the workers were facing pension cuts of 50-75%. "So, to know this is restored means people are going to be able to age where they want in the home, in the neighborhood they want and, again, be a help to their kids and grandkids," Sperling said.

Officials said the New England Teamsters are getting the second-largest award to date under the program.

"Multi-employer pension funds had been experiencing some challenges as companies consolidated, as companies went out of business," said U.S. Sen. Jeanne Shaheen, D-New Hampshire. "All of those pension funds weren't always managed as well as they should be. And so, as part of the American Rescue Plan, we said that's not right for people who paid into their pensions."

Federal spending is always an issue in an election year, and U.S. Sen. Maggie Hassan, D-New Hampshire, said more bipartisan work needs to be done to address inflation. But she said the multibillion-dollar appropriation goes to the core value of the rescue plan, which she said is about helping people through the economic uncertainty caused by the pandemic.

"And in this case, addressing a long overdue issue, which is making sure, again, that people who had worked hard, done the responsible thing, invested in their pension, would see the return on that investment as they had been promised," Hassan said.