Written by Craig D. Robins. Esq.
I had the pleasure of discussing bankruptcy and the economy with Thomas J. Mackell last week. Mr. Mackell is a former Chairman of the Board of Directors of one of our Federal Reserve Banks. He has since become a crusader for pension reform.
He addressed several attorneys in our office about some of the serious problems facing this country’s economy and retirement systems. He believes America needs a new deal for pension and health care reform.
One extremely interesting and disturbing remark that he made is that the average American spends less time thinking about their retirement income than they do planning their annual two-week summer vacation. It seems Americans fail to properly consider their pension choices.
Mr. Mackell pointed that in the past decade, there has been a great shift in retirement responsibility from the shoulders of the institution to the shoulders of the individual. This has created quite a problem, he believes, because the average individual does not even know the difference between a stock and a bond. He thinks a new hybrid retirement system is necessary.
I am seen holding Mr. Mackell’s book, “When the Good Pensions Go Away: Why America Needs a New Deal for Pension and Health Care Reform,” in which Mr. Mackell discusses the gaping holes in America’s retirement systems and the need for better solutions.