Washington, DC - November 22, 2019 - Senate Finance Committee Chairman Chuck Grassley (R-IA) and Senate HELP Committee Chairman Lamar Alexander (R-TN) this week released their comprehensive multiemployer pension reform proposal. Summarized in a white paper entitled “Multiemployer Pension Recapitalization and Reform Plan,” the proposal tackles all facets of the crisis in the multiemployer system. By comparison, the House-passed Butch Lewis Act provided a solution only for failing plans and its passage in the Senate was highly doubtful.

CEA believes putting solutions on the table is the best way for Democrats and Republicans to work with each other, and stakeholders, to find common ground. CEA employers continue to emphasize that prompt, careful action is required to avoid employer exits and bankruptcies. CEA continues to press for modernizing the system by authorizing the use of Composite Plans by labor and management trustees of jointly administered plans in the exercise of their best fiduciary judgment.

CEA will be evaluating and commenting on the proposal and working with Members of Congress to ensure any final proposal addresses the concerns of construction industry plan stakeholders.

A summary of the White Paper can be found here and an extensive technical explanation can be found here.