mouse said:
So why not let the government interfere and assist the company in question to deliver the pensions?
They are. United's pension fund is insured with the Pension Benefit Guaranty Corporation, a government agency. The problem is that the PBGC insurance only covers around $6.6 billion and United has only $7 billion in it's pension fund (primarily due to failed investments) while it owes $16.8 billion so there's not enough for everyone to get all they're supposed to.
What people seem to forget (or simply don't realize) is that every investment is a gamble. The amount of risk you take typically determines the gain you can realize but no such venture is completely secure. So far there are no allegations that I'm aware of that United has misused or otherwise mismanaged the fund they simply did not get the return they were expecting.
The problem is a legal issue (federal regulations). Corporations and government agencies are allowed some leeway in reporting the economic forecast and tend to paint the picture as a best case scenario. This is not an isolated incident, the energy crisis in California, Enron, etc are all related incidents. Even when some acts were distinctly illicit the reason why they were not caught in time is because the damage can be hidden in the accounting.
The personal lesson to take away is never to ignore the downside. In fact, one should always count on a worst case scenario. There are no safe investments, not even the government. Just look at social security and bond returns. Prepare for the worst, hope and work for the best.
You are giving up on an ideology, because you are of the opinion that the instrument used to implement that ideology is flawed? Would it not be fair to study how to correct the instrument, or in our case the government, rather than to give up on it?
It's not just that the system is flawed. The ideal simply does not work except on a small scale. The larger the governing body the more room there is for corruption and the less chance of discovering it.
Is, in your opinion, this mismanagement an unavoidable part of a government?
Yes. Government and politics are about power. Period. Power attracts pathological personalities, people who will abuse it. The only remedy I have ever come up with is that power should only be given to those who don't want it. By those who have a true understanding of the scope of the responsibility and thus are reluctant to take the reigns into their own hands. How you might account for this accurately I have no idea.
And since I'm already paraphrasing Herbert:
"The convoluted wording of legalisms grew up from the necessity to hide from ourselves the violence we intend toward each other. Between depriving a man of one hour of his life and depriving him of life there exists only a difference of degree; you have done violence to him, consumed his energy. Elaborate euphemisms may conceal your intent to kill, but behind any use of power over another the ultimate assumption remains 'I feed on your energy." - Frank Herbert, "Dune Messiah"
How do you envision that happening?
Without completely restructuring societal values... I have no idea. Even then you're simply substituting one force for another. The only solution I have is to entreat people to look at everything skeptically. Not to trust
anyone who wants you to hand your power to them.
I suppose we should look at the US, learn from her mistakes and see if we can do better.
Precisely. And the Soviet Union/Russia, China, India. All struggling with the same problems.
There should be some balance between the rights of the employees and the freedom of employers.
I agree. And there is. My opinion on the matter is that we need as many diverse factors participating as possible and we need to try to equalize the power as best we can so that no one entity can operate in exclusion of the others. We need the government and the corporate power-houses, we need the unions and the free agents.
Mostly we need to understand that
every organization has the same flaw. That no organization can take into account the needs and desires of every individual.
~Raithere