So I got my first Teamster magazine (no, I’m not joking). And the first news item I turn to tells me that the freight Teamsters voted for a pay decrease. (Here’s an earlier story).

At first I was really touched to see this level of realism. We are in a deflationary spiral and all our wages (as well as prices) are going to shrink (probably fairly soon). So it was awesome to see these guys displaying wisdom.

But then I saw what it was that they think they are going to get to keep because of their sacrifice. They are trying to keep pensions and health care benefits.

I’ll leave the health benefits alone right now. Lets talk pensions.

Right now, you should never believe any corporation that claims they will give you a pension.

• Even if they are honest, they can’t be sure they will be around to provide the funds.
• Whether or not they are honest is something you probably won’t ever be able to discover until it is too late.
• The laws are not sufficient to predictably force the people involved to keep their word, and once the money is gone there is nothing the government can do.
• You won’t have a second chance to work all your life to get a pension once your first company goes bankrupt.

I think it is intrinsically fraudulent to motivate people with pensions as “compensation” for a job.  If I had the power, I would simply make it illegal.  We would all be better off getting paid more and then finding various (!) ways to save and invest for the future.  The idea that the company you work for should provide for your entire life seems patronizing and feudalistic anyway.  Whether my gut is right about that or not, the fact remains that no company can be trusted to do it.