(ORISKANY, NEW YORK) - After years of relentless advocacy, U.S. Senate Majority Leader Charles Schumer has announced United Food and Commercial Workers (UFCW) Local One - which represents more than 19,000 Members across Buffalo, Syracuse, the Southern Tier, the Finger Lakes, and Upstate New York, will receive $764 million pension-fix payout from the American Rescue Plan.

Schumer said this would ensure UFCW Local One Members and their families receive the hard-earned benefits they paid into their whole lives - but reduced through no fault of their own.

The Senator said with these pensions restored, UFCW Members and their families will finally have the financial security they deserve: “From Tops Supermarkets to making world famous products like Gianelli’s sausages in Syracuse and Sahlen’s hot dogs in Buffalo, UFCW Local One Workers are the beating heart of Upstate New York’s Food and Commercial Industry. Upstate New York Union Members of UFCW Local One and their families could have lost the benefits they earned over a lifetime of work - through no fault of their own - putting their financial security, retirements and families’ futures at risk.  When I became majority leader, I promised I would not stop fighting until our Union Brothers and Sisters and their families got the pension relief they needed and earned.  Thanks to the American Rescue Plan, I can finally say a promise made is a promise kept to the tune of over ($764 million for 19,000) UFCW Local One Members across Upstate New York who will see their pensions restored.”

UFCW Local One President Frank DeRiso said: “Before the Butch Lewis Relief Act, Workers were at risk of losing the retirement security that they earned through a lifetime of hard work.  Thanks to the leadership of Senator Schumer and the Biden Administration, (19,000) UFCW Local One Members and their families can take a deep sigh of relief knowing that their hard-earned retirement savings are now protected from significant cuts.  Senator Schumer continues to deliver for New Yorkers and we thank him for that.  Working People are the backbone of America, and when promises are made to Working Class Americans, they must be kept.”

According to Pension Benefit Guaranty Corporation (PBGC), the plan was projected to become insolvent and run out of money in 2026.

Without the Special Financial Assistance (SFA), the UFCW Local One Plan would have been required to reduce participants’ benefits to the PBGC guarantee levels upon plan insolvency, which is roughly 15% below the benefits payable under the plan’s terms.

Schumer explained that after the 2008 financial crash, many Union Workers in Multi-Employer Pension Plans were in danger of collapse due to out-of-control speculation on Wall Street.

Multi-Employer plans are created through agreements between employers and a Union, with plans typically involving multiple employers in a single industry or related industries.

Countless families and Workers faced the prospect of losing out on retirement savings - through no fault of their own.

Senator Schumer fought to include the Butch Lewis Act in the American Rescue Plan - securing pension solvency in his first significant Bill as Majority Leader.

Before the American Rescue Plan, over 200 Multi-Employer Plans were on pace to become insolvent soon, risking benefits for millions of workers and their families.

The law created the SFA Program administered by the PBGC to protect benefits for millions of Workers, reverse harsh pension cuts and put existing plans on a path to solvency through 2051.

To Directly Access This Labor News Story, Go To: Local One Pension Fund Receives Special Financial Assistance from PBGC – UFCW Local One (ufcwone.org)

And For More, Go To: Food and Commercial Workers pensions bailed out by federal government (timesunion.com)