Letter From The President of The Board
The Trustees of the Laborers’ and Retirement Board Employees Annuity and Benefit Fund of Chicago (LABF) recently sent a letter to key legislators in Springfield and to Mayor Emanuel and various city officials regarding LABF’s funding requirements.
In the letter, the Board spoke of the financial condition and economic challenges facing LABF. LABF’s unfunded actuarial accrued liability based on the actuarial value of assets increased in 2012 from $769 million to $1,059 million, resulting in a reduction in the funding ratio from 64.9% to 55.4%. More importantly, LABF does not have a funding mechanism in place that relates to long-term solvency.
The Board reiterated the fact that many hardworking Chicago laborers depend on LABF for their current and future retirement well-being. They strongly expressed the need for legislation that ensures the long-term solvency of LABF and retirement security of its participants.
Please visit LABF’s website at www.labfchicago.org/investments/financial-reports/popular for detailed information on the finances of the pension fund.