Pension

Retirement Security with IUOE

IUOE members benefit from access to a defined benefit pension—an increasingly rare form of retirement security that provides a guaranteed monthly income for life.

IUOE’s Central Pension Fund (CPF) was established in 1960 and is one of the largest labor-management pension funds in the United States. Supported by thousands of contributing employers, the fund is designed to provide long-term financial stability for members and their families. A defined benefit pension helps ensure retirement income lasts throughout a member’s lifetime—offering peace of mind that a 401(k) alone cannot guarantee.

Advantages of IUOE’s Defined Benefit Pension 

IUOE’s pension provides benefits that are difficult to replicate through individual retirement accounts:

• Guaranteed monthly income for life
• Survivor, disability, and death benefits
• Benefits not dependent on market performance
• Federally insured to statutory limits by the Pension Benefit Guaranty Corporation (PBGC)

Defined Benefit Pension vs. 401(k) Plans

Many workers rely solely on 401(k) plans for retirement. While these plans can be a useful savings tool, they do not offer the same level of long-term security as a defined benefit pension. 401(k) Plans Typically:

• Are individual savings accounts
• Depend on market performance
• Do not provide guaranteed lifetime income
• Offer limited or no survivor protections
• Are not federally insured

A defined benefit pension is designed to provide consistent, predictable income throughout retirement—helping protect members from market volatility and the risk of outliving their savings.