Held Up Without a Gun

The plot thickens. In response to my "Torn and Tattered" essay, I received several emails from PERS members who are in positions to have knowledge about their employers' submissions to PERS. Their stories share a common theme - it ISN'T the employers that are at fault here. Both aim their blame at PERS. While one would expect that employers would try to sidestep blame, there are several smoking guns they offer. In one example, an employer has verified electronic receipts from PERS showing the dates that all contributions to the IAP were made. For the first few months PERS could not reconcile the employer submittals even though the employer had submitted them in a timely (and correct) way. Then, the records show, information returned to the employer verified by PERS as of 12/31/04 had not included contributions for October and November 2004. Did they include December 2004? This employer's employees showed earnings rates that varied all over the place, despite the fact that all payroll information was transmitted for all employees to PERS on magnetic tape or electronically in the same instant. It the second case, with issues similar to the first, the PERS member/transfer agent added another twist. Payroll usually comes at the end of the month. Payroll submissions to PERS take place on the first of the next month; PERS only invests money on the first of the month. Consequently, for example, money withheld from an employee's account and contributed on their behalf to PERS on March 31st (for example), arrives at PERS on April 1, but too late for PERS to record it *and* invest it that day. Instead, the money doesn't get invested until May 1 - thirty or more days after PERS gets the money. Where does the money sit during that period and who scoops up the earnings - it surely isn't the employee? Inquiring minds demand to know.

All my various emails have an angry and edgy and cranky tone to them. Letters and emails and posts at other places - myhillmywaynow.blogspot.com and the PERS Discussion Group have already started heavy recruiting and strategizing discussions. They're planning to "Rock the Casbah". Several speak of potential legal action, which may be inevitable. I think it fair to say that readers already know that it is bad enough to be shaken down by a bunch of guys with middle names of "the" in a carjacking; but it is a whole lot worse when the hold up takes place by a bunch of well-dressed, well-spoken thugs in suits and ties and no guns.