Proposal to cease Snohomish city union pensions and use different retirement plan being fought over

Snohomish city employees rallied against a city proposal to replace the Teamsters Pension Trust with the Deferred Compensation Program (DCP). The Teamsters argue the DCP does not provide the same security as their current pension, which guarantees lifetime income. City officials maintain that the DCP offers benefits like immediate vesting and variable contributions. City administrator Heather Thomas-Murphy emphasized the city's commitment to good-faith negotiations while prioritizing financial well-being. A petition supporting the pension plan has garnered 200 signatures, demonstrating strong employee concern.

Union members voiced their opposition during a recent city council meeting, where Mayor Linda Redmon defended the proposed changes. The Teamsters' endorsement of mayoral candidate Aaron Hoffman reflects dissatisfaction with Redmon's handling of the pension issue. The Teamsters Pension Trust is recognized as one of the healthiest pension funds in the nation, with guaranteed funding through at least 2050.