Donna Seaman to Nehf and Board: Step up and do the right thing!
Donna Seaman to STRS Board, September 15, 2009
Subject: bonuses
Subject: bonuses
Board members and Mr. Nehf:
This week you have the opportunity to stand up and do the right thing--for once and for all, do away with bonuses--performance based incentives--for investment staff!
To pay bonuses to the investment staff, who have lost billions of dollars of retirees' money in the past several months, is ludicrous and absolutely unjustifiable. To consider paying this money under any circumstances is not a viable option for you, board members. Because some of you believe that there is a possibility of litigation if you do not grant these bonuses, is nothing else but blackmail from the investment department!
Now you consider calling it by another name: "reduced and delayed bonus!" I have seen, over the past years, how gullible you believe us to be! Now you believe you can persuade us to be quiet and accept this new version of paying bonuses, but the bottom line is the same: investment staff do not deserve and have not earned these bonuses. Further, STRS has always had the legal and ethical right to terminate bonuses. I refer you to page 33 of the STRS board policy which states: The PBI program may be interpreted, amended, rescinded and or terminated at any time by the Board."
Board members, I remind you, you work for us, your beneficiaries! You do not work for the pleasure and profit of STRS employees! There is no way you can convince us that bonuses are appropriate, no matter how you change the payment plan, or call it something else. The fact remains that the STRS investment department has lost billions of dollars in the fund's value, sustaining the biggest loss of any of Ohio's five public pension systems.
I have recently read a new book, FRACTAL TIME by Gregg Braden. I encourage all of you to read it. It discusses the cyclical nature of life. The cycle society appears to be in right now is one of "discord, contention and quarrel. Examples of these traits include: The appearance of rulers who are unreasonable and levy taxes unfairly. . . and the age when the helpless become targets to be preyed upon." (p. 53)
The parallels are so obvious. You have preyed upon us, the helpless STRS retirees, for years, continuing to ignore our pleas for fairness and justice. You continue to reward incompetence, as evidenced by your willingness to continue paying bonuses. You continue to ignore reasonable requests by many of us to direct Mr. Nehf to reduce staff and cut operating costs. All cost cuts have been directed at retirees, and now, with the ORSC plan, at active teachers as well. But virtually no internal cost reductions! When will this stop?
Please step up and do the right thing at your meeting this week! Performance based incentives--bonuses!--must not be paid, not in any way or under any other plan.
Donna Seaman, 2002 retiree (these views are my own and do not reflect that of any organization)
Board members, I remind you, you work for us, your beneficiaries! You do not work for the pleasure and profit of STRS employees! There is no way you can convince us that bonuses are appropriate, no matter how you change the payment plan, or call it something else. The fact remains that the STRS investment department has lost billions of dollars in the fund's value, sustaining the biggest loss of any of Ohio's five public pension systems.
I have recently read a new book, FRACTAL TIME by Gregg Braden. I encourage all of you to read it. It discusses the cyclical nature of life. The cycle society appears to be in right now is one of "discord, contention and quarrel. Examples of these traits include: The appearance of rulers who are unreasonable and levy taxes unfairly. . . and the age when the helpless become targets to be preyed upon." (p. 53)
The parallels are so obvious. You have preyed upon us, the helpless STRS retirees, for years, continuing to ignore our pleas for fairness and justice. You continue to reward incompetence, as evidenced by your willingness to continue paying bonuses. You continue to ignore reasonable requests by many of us to direct Mr. Nehf to reduce staff and cut operating costs. All cost cuts have been directed at retirees, and now, with the ORSC plan, at active teachers as well. But virtually no internal cost reductions! When will this stop?
Please step up and do the right thing at your meeting this week! Performance based incentives--bonuses!--must not be paid, not in any way or under any other plan.
Donna Seaman, 2002 retiree (these views are my own and do not reflect that of any organization)
posted by Kathie Bracy at 3:10 PM
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