Kildee Introduces Bill to Restore Delphi Salaried Retirees’ Retirement Benefits

WASHINGTON—Congressman Dan Kildee has re-introduced new bipartisan legislation, supported by Republicans and Democrats, to restore the pensions of approximately 20,000 Delphi salaried retirees who lost their benefits through no fault of their own. Video of the virtual press conference held today is available here.

Last Congress, Congressman Kildee introduced the Susan Muffley Act and was able to get the legislation passed in the U.S. House of Representatives with strong support from Republicans and Democrats. However, the U.S. Senate failed to take up the legislation. In the new Congress, Kildee remains committed to getting this legislation to the president's desk to restore the pensions of these workers.

"If you work hard and play by the rules, you deserve to retire with dignity," said Congressman Kildee. "Delphi salaried retirees lost their pensions through no fault of their own, and that's not right. These hardworking retirees have waited for over a decade for the benefits they earned. While we were successful in getting the legislation passed in the House last Congress with the support of Republicans and Democrats, the Senate failed to take it up. We will not stop fighting for Delphi salaried retirees until their pensions are restored."

"The effort to restore Delphi salaried retiree's pensions has been challenging, but my determination will not waiver to right this wrong," said Congressman Turner. "Through bipartisan efforts in Congress and with President Biden's support, we now enter the 14th year of this fight. I will continue to advocate to make Delphi retirees financially whole, who lost their pensions through no fault of their own."

"We are grateful to Representatives Dan Kildee and Mike Turner and all those elected officials who stand up for fair and equitable treatment for all American workers. If it passes, this bill will restore fairness and dignity in retirement. It will relieve the suffering of thousands of salaried and hourly workers who were left behind after GM filed for bankruptcy. It will greatly help their families and their communities also. This is very important and necessary legislation. Thank you to all those who are working to help pass this bill," said Bruce Gump, Chair of the Delphi Salaried Retiree Association.

When General Motors filed for bankruptcy during the Great Recession, the U.S. Pension Benefit Guarantee Corporation (PBGC) unfairly cut retirement benefits for Delphi salaried retirees by as much as 70%, impacting more than 20,000 people nationwide—including over 5,000 in Michigan. These hardworking retirees suffered significant losses to their earned benefits, with devastating impacts on many of their lives.

Congressman Kildee's legislation would restore the terminated pensions, making these hardworking retirees whole. This bill would make up the difference between the pension benefits earned by Delphi salaried retirees and what they received following the GM bankruptcy in 2009. Beneficiaries who have already begun receiving benefits will receive a lump sum payment of the difference between what was actually paid by PBGC and would have been paid without the limitations, plus 6% interest. To ease the tax burden, retirees may pay income taxes on this lump sum over three years. Moving forward, all beneficiaries will receive their full earned benefit.

Kildee is introducing this legislation with Representatives Mike Turner (OH-10), Gwen Moore (WI-04) and Claudia Tenney (NY-24).

There are over 20,000 affected Delphi retirees across the country, including:

• Michigan: 5,859
• Ohio: 5,181
• Indiana: 4,044
• New York: 2,337
• Florida: 801
• Texas: 564
• Alabama: 564
• Wisconsin: 405
• Mississippi: 387
• Arizona: 198
• North Carolina: 156
• Tennessee: 156
• California: 153
• South Carolina: 147
• Georgia: 141
• Pennsylvania: 117
• Other States: 672