Yes, Mr. Nyhan has reduced the benefits paid to YRC employees who retired after September,2010. No, the pension is not even close to being out of troubled waters.
There are two sides to pension issue addressed by Mr. Nyhan. The side that pays benefits has been reduced to stretch the principle of pension out. It is a logical action based on our pension dillema. However, Mr. Nyhan also spoke on the funding side. Specifically, "And long before the date of insolvency, the remaining contributing employers will either be forced out of business (causing catastrophic job losses) or fearful of the ramifications of insolvency, will adopt measures that would accelerate the insolvency date," The $130 million ABF puts into the pension has not been reduced eventhough roughly 60% of that contribution goes to maintain the retirement benefits of employees who worked at ABF. That means 40% of the monies paid by ABF goes into a fund that pays retirement benefits for workers who never worked a day at ABF. The issue has to be addressed and settled. If it is not, ABF without a doubt will do just as Mr. Nyhan has warned and "adopt measures that would accelerate insolvency."