At TWU Breakfast, State Comptroller DiNapoli Renews Commitment to Working People

At an educational breakfast hosted by TWU Local 100 at our union hall in downtown Brooklyn, New York State Comptroller Thomas DiNapoli re-emphasized his commitment to keeping State pension money in defined benefit plans and said his office is exploring new ways to increase retirement security for all New Yorkers. The event, coordinated by TWU Political Action Director Marvin Holland and his team, brought together Brooklyn clergy and small business owners to hear DiNapoli and other leaders including TWU Local 100 President John Samuelsen, Treasurer Earl Phillips, and NYC Central Labor Council head Vinnie Alvarez. In remarks to the audience, DiNapoli said that New York State's retirement system, of which he is the sole trustee, had a 13% rate of return on investments last year. "When people say that public pensions are unsustainable, it's just not true," he said. He received big applause for fighting to keep the retirement system's pension funds paying out defined benefits to pensioners, rather than converting them to 401 (k) type plans in 2012. He noted that defined benefit plans help retirees cope with market downturns, whereas 401 (k)'s can get wiped out by market fluctuations.

DiNapoli said his office strives to fulfill a "double bottom line," which is to "do well for the fund, and to do well for the community." This means that he seeks the best return possible for retirees, while also trying to invest in ways that return a benefit to local communities. He showcased his office's commitment to engaging minority and women-owned investment firms to compete with the large "too big to fail" investment houses in managing public funds. He also spoke at some length about his commitment to environmentally beneficial investing, including sitting on the board of the Ceres coalition of socially responsible investors.He said that he was engaged with fossil fuel companies to make sure that they include the costs of global warming as part of their investment outlook. The New York State Common Fund, which DiNapoli manages, is now at its highest level ever, with $176 billion under management.

TWU Local 100 Secretary-Treasurer Earl Phillips praised DiNapoli's steadfast defense of defined benefit pensions. DiNapoli in turn commended TWU Local 100 President John Samuelsen. "John Samuelsen is the real deal in a labor leader," he said. "He came through a tough negotiating process beautifully."

DiNapoli gave a wider perspective on financial management when he spoke of a worldwide crisis in which three billion people live on less than $1 a day, and where "the five Wal-Mart heirs have as much income as 40% of all Americans." He said that people must "recognize that our economy didn't just happen. We've seen a systematic breakdown of the social safety net. We've seen a diminishment of rights and economic power for workers which is inextricable from attacks on collective bargaining."