[Congressional Record Volume 148, Number 86 (Tuesday, June 25, 2002)]
[Senate]
[Page S5970]
From the Congressional Record Online through the Government Publishing Office [www.gpo.gov]
PENSION REFORM
Mr. BINGAMAN. Madam President, the retirement system in this country
leaves a great deal to be desired. We have many people who do not have
adequate income when they reach the age of retirement. We have some
charts that make that case. These charts are based on the 1999 U.S.
census current population survey. They make the case fairly strongly.
This first chart is titled ``Private Workers Who Participate in an
Employer Sponsored Plan,'' and breaks down the population by race and
ethnicity. When we look at all workers as of 1999, there were 44
percent of the private workers who participated in the employer-
sponsored plan, looking at the entire population. Among white, non-
Hispanic workers, there were 47 percent or nearly half of the
population that had some sort of employer-sponsored plan. That means a
little over half did not. This chart does not include the public-sector
employees or the self-employed workers.
For other minority groups the numbers are substantially less. For
black, non-Hispanic, it is 41 percent; for Asian Pacific islanders and
other non-Hispanic, 38 percent; for other minority non-Hispanic, 35
percent; and among Hispanic workers, it is 27 percent. Therefore, 27
percent, slightly more than one fourth of the private-sector Hispanic
workers in the country, have an employer-sponsored plan.
That is important in my State because we have a large Hispanic
population. When you look around the country and ask, where is the
problem the worst as far as inadequate retirement coverage, my State is
No. 1 in the Nation for the number of private-sector workers that do
not have coverage.
The second chart demonstrates the percentage of private-sector
workers who work at companies that provide after retirement or a
pension plan. This chart talks of the companies employing these
workers.
Madam President, 58 percent of all employees work for employers that
provide some kind of plan. But then the numbers decline. Among white
non-Hispanic, it is higher, and 62 percent of those employees work for
companies that provide some kind of retirement plan; among Hispanic
workers, only 40 percent of Hispanic workers nationwide work for
companies that provide some kind of retirement plan. So this is a
significant concern and a significant part of the problem as well.
The third chart illustrates the percentage of employees who
participate in an employer-sponsored plan when the employer actually
offers the plan. This is an assessment of how many people actually take
advantage of this plan, in these different groups, once they have the
opportunity. Among all workers, 75 percent nationwide will participate
and have participated in an employer-sponsored plan if it is offered.
Again, it is a little higher for white, non-Hispanic workers--up to 77
percent. Among Hispanics, it is 68 percent.
The interesting aspect about this is it is much less of a spread
between the average, the ``all worker'' category, 75 percent, and the
Hispanic, which is 68 percent, which makes the obvious case that
Hispanic participation is not significantly different from that of the
rest of the population when they are offered a plan.
The final chart pulls all this data together, puts it all in one
place so we can understand it.
The ACTING PRESIDENT pro tempore. The Senator has consumed 5 minutes.
Mr. BINGAMAN. I appreciate the Chair's information.
While it is not conclusive, it does indicate that if Hispanic workers
do have jobs where the employers offer some type of plan, they tend to
participate. Unfortunately, the data indicates that Hispanics tend to
work for employers who do not offer retirement plans. What we need to
do is get more employers to offer retirement plans, particularly small
employers. That is what the legislation we are developing right now is
intended to do. I will be proposing that later.
I urge my colleagues to look at this issue seriously. I hope we can
introduce a bill before the week is out.
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