Editorial: Needed information is given to workers

Tuesday, Oct. 12, 1999 | 9:06 a.m.

There are welcome moves afoot to give people more knowledge about their retirement plans. For starters, earlier this month statements started going to workers who pay into the Social Security system, providing them an estimate of how much they'll receive when they retire. Each worker who is over 25 will get an update every year about three months before his birthday.

Meanwhile bipartisan legislation is being crafted, which some businesses oppose, that would give workers precise, yet easy-to-understand information when their employers change their pension plans. Recently members of Congress have become alarmed by some companies that have changed their pension plans to "cash balance" plans, and often employees aren't aware that these new plans mean they will get less money, especially if they're older.

Considering the sweeping changes in how Americans are preparing for their retirement it is absolutely essential that they receive the most up to date and understandable information regarding their retirement plans. There is no excuse to keep such basic facts from workers. After all, without this knowledge, how can anyone expect families to make intelligent decisions as they look to secure their futures?