Related Articles

A gathering cloud of challenges confronted attendees to the annual IBEW/NECA Employee Benefits Conference earlier this month, at a time when many pension plans are underfunded and with a health care crisis stirring.

As the gatekeepers for the most of the Brotherhoods construction members health, pension and welfare benefits plans, the 360 attendees are working to stave off benefit cuts while facing new regulatory mandates.

In his remarks to the gathering of labor management trustees, electrical contractors, plan administrators, consultants, attorneys and actuaries, IBEW International President Edwin D. Hill called for a national solution to the nations runaway health care problem, labeling it the greatest long-term domestic challenge facing the U.S.

"We need to make sure that we, as a responsible industry, are not among the few carrying the load for the many," President Hill said. "It is time for all employers and all of society to share the burden so that quality health care for all can become a reality, not a far-fetched ideal. We can no longer put off action."

The number of those without heath care coverage in America has ballooned to 43.6 million and rising. And the cost of treating the uninsured falls onto already overburdened states, communities and taxpayers.

Pensions plans have been hurt by a three-year downward stock market trend. A shifting national emphasis from defined benefit planspensionsto defined contribution401(k)-type accountshas placed pension plans in jeopardy, particularly by employers who have neglected to fund them. The IBEW is backing legislation in Congress to assist multiemployer plans in recovering investment losses. But Secretary-Treasurer Jerry OConnor said a lack of understanding about the nature of multiemployer plans and sheer indifference to the problem could stand in the way of passage.

"We are encountering opposition from some who have their own special interest in getting out from under their pension obligations," Mr. OConnor said. "But we will persevere, and we will ensure a solid future for the plans we have worked so hard to build over the years."

The international officers and conference presenters also addressed the new Medicare prescription drug benefit, which is scheduled to take effect in two years. Speakers discussed the IBEW Sav-Rx plan, the only prescription drug plan offered by an international union to its members. They also provided an update on reciprocity issues, including the ERTS electronic reciprocal benefit system. Addressing the health care quality crisis, one speaker highlighted an innovative program called the Leapfrog Initiative that encourages large employers to recognize and reward health plans and hospitals that make breakthrough improvements in patient safety and quality with preferential use and other market reinforcements. A representative from TMG Health Group discussed retiree health care options, such as so-called Medigap plans. Delegates also heard news about Employee Retirement Income Security Act (ERISA) compliance. A legislative update reminded participants that actions of Congress and state legislatures has a direct impact on their work.

NECA President Ben Cook said, "Continuing strong attendance here signifies the steadfast commitment NECA and the IBEW share to solve our industry's problems. But, more than just signifying commitment, this is a real working meeting, a place to learn new ways to provide meaningful benefit plans within a cost structure that keeps our industry competitive in the marketplace."

IBEW Pension Benefit Fund Director Larry Reidenbach said the conference provided information and insight to the nature of the problems facing multiemployer benefit funds as well as ideas for reducing costs and increasing efficiencies. He attributed the 20 percent increase in attendance from last year to the immediacy of the issues presented at the conference.

For more information on the IBEWs prescription drug plan, consult Sav-Rxs web site at www.savrx.com. And for further information on the Leapfrog Initiative, log on to www.businessroundtable.org.

IBEW Introduces National Prescription Drug Plan

What the Drug Companies Dont Want You to Know

Number of Uninsured Rising; AFL-CIO Joins Public Initiative

The Family and Medical Leave Act 10 Years Later

SAVRX.COM

Business Roundtable

The Dark Side of Wal-Mart... April 2003 Journal