Ehrlich on Washington column, August 12, 2001

MEWS FROM Robert L. Ehrlich, Jr Second Congressional District of Maryland 1 407 York Road, Suite 304 3 1 5 Cannon House Office Building Lutherville, Maryland 21093 Washington, D.C. 20515 EHRLICH ON WASHINGTON Week of August 1 2, 200 1 By Congressman Robert L. Ehrlich, Jr. Rail Workers Deserve Quality Retirement Benefits Railroad employees work tough jobs and earn a proud living. Their dedication made America’s historic railroad system one of the nation’s great achievements. Accordingly, my colleagues in Congress recently voted to expand the benefits available to America’s railroad employees and their spouses. HR. 1140, The Railroad Retirement and Survivors' Improvement Act of 2001 was passed in the House in early August, with my support, by an overwhelming bipartisan majority. Railroads were America’s first big business and, as the industry strengthened, so did the need to provide benefits to rail workers. During economic downturns, however, the rail industry often cut benefits to its workers, putting their physical health and economic well-being at risk. The Great Depression of the 1930's prompted Congress to take action in order to save one of America’s great industries. By the end of the decade, under President Franklin Roosevelt’s leadership, Congress had put railroad retirement benefits under strict regulation by the federal government. Seventy years later, the 107th Congress has revisited this important issue. By passing H.R. 1 140, the House of Representatives has taken a big step toward strengthening and modernizing railroad retirement benefits. Specifically, H.R. 1 140 improves this government-run system by establishing a privately-run Railroad Retirement Trust Fund and Railroad Retirement Investment Trust. Currently, investment of rail retirement assets is limited to U.S. government securities. H.R. 1 140, however, would encourage increased earnings on benefits by investing the railroad retirement trust fund balance in a private, diversified portfolio. In Maryland’s second congressional district alone, over 2,000 railroad retirees and their loved ones rely on these retirement benefits. Maryland’s rail workers can reap the financial rewards of America’s long-term economic strength by establishing this privately-run trust for their benefits. C -