With few exceptions, business companies can no longer be trusted to manage retirement funds and to supply health insurance. The mistake in the first place was owing to the unions’ negotiating for fringe benefits at the expense of higher wages, and thereby influenced non-union companies to follow suit. This process has been reduced to systemic robbing Peter to pay Paul, resulting in the government expenditures of billions of dollars to guarantee pensions in default. Workers’ costs of health insurance is becoming uncontrollable as companies pass the costs on to employees.

The solution to pensions should be through mandatory social security plus — in a lock box — that invests half in high grade corporate bonds and the other half in rock-solid mutual growth funds for each individual account. Medicare for all should be implemented and open to bid for insurance companies. This way the monkeys are off the backs of corporations and small businesses, which are expected to come across with higher pay for their workers and decent, safe workplaces.

In this way anxiety of both employer and employee will be eliminated so that they can both work together to forge strengthened business firms.

Copyright © 2004 Richard R. Kennedy All rights reserved. Revised: September 17, 2004.

http://stevendedalus.joeuser.com