Roofers Local 195 loses 97% of pension Hit hard by madoff scandal

Roofer's union hit hard by Madoff scandal
01/17/2009 07:00 PM
By: Katie Morse

CICERO -- Cameras were not allowed inside Saturday's meeting of the Roofers Local 195, but as they left members told us the impact the Madoff scandal had on the union.

"Our pension plan lost 97 percent of its value," said union member Ron Humphrey.

To take care of its retired members, the union reopened and voted on a new contract.

Among the changes, members committed $10 per hour to the pension plan, which is much more than before.

"The pension was getting I think only about $3 an hour. Cause we were getting so much off of this Madoff investment we thought we were doing good," said Humphrey.

Roofers Local 195 loses 97% of pension
Another local union discovers it's been hit hard by the Bernard Madoff scandal. Members of the Roofers Local 195 learned Saturday their pension money is almost completely gone. In December, members received letters telling them they'd likely be affected. Our Katie Morse was outside their meeting, when roofers learned the exact impact of the scandal.

Union members will give $3 per hour of their take-home pay to the pension; the rest will come from other programs and contractors.

Members also voted to end early retirement.

"I had two more years to retire; now I can't. I was gonna get out at 55, now I got to wait until I'm 62," said Thomas Tarbox, Roofers Local 195 Member.

The union members tell us the meeting went relatively well, and that there were no big surprises. While they're upset the investment scandal hurt them, they say they're taking this time to look out for one another.

"We've got to take care of our brother roofers first. I can't look at myself. I've got family out there and I've got my brother roofers," said Tarbox.

The Roofers Local 195 plans to try this new contract for a year.