Issue link: https://pma.uberflip.com/i/1355890
$10.0 $9.0 $8.0 $7.0 $6.0 $5.0 $4.0 $3.0 $2.0 $1.0 $0.0 120% 110% 100% 90% 80% 70% 60% 50% 40% 30% 20% 7/1/14 1/1/15 7/1/15 1/1/16 7/1/16 1/1/17 7/1/17 1/1/18 7/1/18 1/1/19 7/1/19 1/1/20 7/1/20 1/1/21 Present Value of Accrued Non-Forfeitable Benefits Funding Percentage WORLD-CLASS BENEFITS FOR ILWU MEMBERS The ILWU benefits package includes: • Comprehensive healthcare coverage with no premiums for both actives and retirees: 100% in-network medical coverage, prescription drug coverage with a $1 copay, vision, dental, alcohol and substance use disorder treatment and life insurance; • A pension plan up to $95,460 annually and a 401(k) savings plan with employer contributions; • Disability benefits covering up to $1,250 per week for up to 52 weeks; • Up to 6 weeks paid vacation per year; • 15 holidays (including 13 paid holidays) per year; and • Guaranteed pay for up to 40 hours of work per week. Stabilizing Overall Benefit Costs Over the past decade, benefit costs increased from approximately $82,500 per active registrant to approximately $98,200. Over the last five years, the total benefit costs increased by 6.5%, primarily due to an increase in Welfare Plan costs that was partially offset by a reduction in Pension Plan costs. For 2020, overall benefit costs dropped $139 million with a $137 million fall in pension contributions as actuarial costs expired. Fully Funded Pension Plan The industry pension plan – the ILWU-PMA Pension Plan – is world-class, and has seen major upgrades since the seminal technology agreement of 2002. Since 2014 asset growth outpaced liabilities and funding percentage improved from 70% to over 100%, even with nearly 20% increase in benefit levels. Currently, the 2020 maximum yearly retirement benefit is $93,240 and will increase to $95,460 on July 1, 2021. At the end of calendar year 2020, the Plan paid $35.8 million per month to 9,204 benefit recipients. As of 2019, the Pension Plan became fully funded. The Plan is non- 401(k) Plans Marine Clerk Work Opportunity CFS Fund Industry Travel Pay Guarantee Plan Holiday Cost and Taxes Vacation (Including Employer Taxes) Pension (Employer Contribution) Welfare Plan (Cost + Expenses) $0 $0.4 $0.8 $1.6 $1.2 14/15 12/13 13/14 15/16 16/17 09/10 10/11 11/12 17/18 18/19 19/20 07/08 08/09 05/06 06/07 03/04 04/05 02/03 Billions 401(k) Plans Marine Clerk Work Opportunity CFS Fund Industry Travel Pay Guarantee Plan Holiday Cost and Taxes Vacation (Including Employer Taxes) SWB Pension (Eliminated in 2011) Pension (Employer Contribution) Welfare Plan (Cost + Expenses) 17/18 18/19 401(k) Plans Marine Clerk Work Opportunity CFS Fund Industry Travel Pay Guarantee Plan Holiday Cost and Taxes Vacation (Including Employer Taxes) Pension (Scheduled Costs) Welfare Plan (Cost + Expenses) 14/15 12/13 13/14 15/16 16/17 09/10 10/11 11/12 17/18 18/19 08/09 Total Benefits Cost 2002/03 through 2019/20 ILWU-PMA Pension Plan Funding Percentage & Contribution 18 18 2020 ANNUAL REPORT