GMCS Industry Advisory Alert – Philadelphia Signatory Contractors: Recent Industry Request to Submit “Pension Fund - Withdrawal Liability Calculation” Collectively.

Gregory Management & Consulting Services (GMCS) received queries last week from regional contractors regarding a recent request to collectively acquire and submit a request for their individual “Pension Fund - Withdrawal Liability Calculation” from a defined benefit pension plan. 

In response to those queries and as an industry wide service, GMCS is providing the following clarification:

The information gained through such a request, that is your organization’s individual withdraw liability, is information that should only be shared between the contributing employer and the fund in question.  That information, and your willingness or unwillingness to participate in a group request for that information, should not be a potential subject of a larger discussion amongst the industry and or your competitors.  A collective acquisition and submission of these requests simply not required and unnecessary.  Making a collective request for this confidential information potentially exposes your organization to additional risk through actions beyond the individual organization’s control.  In the past, providing guidance and language on how to execute and perform this task was a service provided through many employer groups.  Arguably, participating, in the collective acquisition and submission of these requests on behalf of employers could be potentially problematic for individual employers.

The Pension Protection Act of 2006 makes this information readily available to each contributing employer.  Under Section § 101(l) of ERISA, which was enacted as a part of the Pension Protection Act of 2006, funds must disclose an employer’s potential withdrawal liability upon request.  The contributing employer must request an estimate of potential withdrawal liability to the fund in writing (which must be provided within 180 days).   

 A simple request can be made individually through the employer to each fund that the employer contributes via a standard request letter.  A copy of the appropriate language/letter may be requested through GMCS should your organization be interested in acquiring that information through your individual organization. Please forward all requests to Wayne Gregory, wegregory@gregorymcs.com.

 GMCS has advised our clients to consider the appropriateness of this request prior to submitting to this request.  Should a contractor be interested in acquiring this data for their organization’s records, an individual request is completely acceptable and appropriate. 

GMCS CONFIDENTIAL CONTRACTED LABOR RELATION’S SUPPORT SERVICES FOR ASSOCIATIONS, CONTRACTORS AND FACILITY OWNERS

Understandably, confidential labor matters that happen within your private organization should always remain private and within your organization, not the subject of a broader and open industry discussion.  Unfortunately, given the current structure and environment within the industry, the potential for your confidential labor matter to become part of a larger industry discussion is highly probable.  With employer’s contributing upwards of $0.30 per hour worked towards regional employer industry funds that were created for the purpose of providing industry & labor relation’s support, you should expect more from your employer association.  Employer confidence and confidentiality must be more than a promise, it must be assured.  Your business and livelihood depend on it. GMCS has built a reputation based on that belief.

Because GMCS contracted labor relations support for the regional construction industry is provided by a reputable and recognized third party administrator, your information remains confidential.  Gone are the days when employers attempted to resolve complex labor matters independently and alone, for fear of having an internal matter made public to their peers and competitors in the industry.  Construction contractors now receive professional, trusted, confidential labor relations support while their contributing employer associations receive informative blind summaries of industry matters on a monthly basis, along with annual summaries of regional labor matters.  These detailed blind summaries enable our employer associations to effectively prepare for regional negotiations on the behalf of the association’s signatories by providing data specific to developing useful, meaningful proposals at the negotiating table.   

GMCS brings a tangible, value added proposal to your association that enables an association’s membership to gain unlimited access to professional, confidential labor relation’s support from an industry recognized labor relation’s professional. GMCS has served the needs of the Philadelphia metropolitan marketplace’s commercial construction contractors since 2006 and have earned a reputation for protecting our client’s confidentiality while successfully working towards resolution on labor matters.

GMCS provides a comprehensive umbrella of protection and support to the region’s many contractors and facility owners.  This is accomplished by having an in-depth understanding of the region’s many collective bargaining agreements, current labor leadership and an established national network of industry professionals and stakeholders.  Additionally, GMCS relies on a comprehensive in-house library of regional & national collective bargaining agreements and a detailed knowledge base documenting 100’s of regional labor disputes, implemented resolutions and industry trends.  GMCS is continually working to protect its clients by providing accurate and timely information to resolve any project or contractual dispute.  One jurisdictional claim could cost your organization 100’s of thousands of dollars, one illegal work stoppage could cost your project days of lost productivity, forced placement of non-productive personnel could result in excessive payroll and benefits.  GMCS provides multiple tiers of contracted service products and hourly rates that will fit any budgetary and administrative requirement to help your organization stay focused on its mission and on budget.   With contracted services starting as low as $170.00 a month, GMCS has contracted labor & industry relations solutions that meet most any organization’s needs.

From Association Management & Executive Leadership services, Owner Representation, Government Affairs and Labor & Industry Relations, let GMCS provide your association or organization with a better solution.  You may respond directly to this e-mail or go to www.gregorymcs.com for more information on GMCS contracted services and support.  Trust, experience and relationships matter, GMCS’s success was built on that foundation. Trust the recognized Labor and Industry Relations’ professional in the Philadelphia region since 2006, Wayne Gregory of GMCS.