But wait, it gets better. Look at the following:
Until last year, that pension came on top of Gannon’s union salary, which had grown to more than $240,000. He now draws the pension while working for a hedge fund, Grosvenor Capital Management, that does work with public pensions, including the Teachers Retirement System of Illinois. The firm also was one of Mayor Rahm Emanuel‘s largest campaign contributors.
Doesn’t look like Rahm will do anything about this, does it? Well, at least you now know how the system works. Call it “socialism for the union leaders,” if you will; at least you know what really motivates their activism — and it isn’t concern for the well-being of the rank-and-file. Next time you want to know what hedge fund managers do, just think of Comrade Gannon, the workingman’s rep in Chicago.
Mr. Gannon, it seems, is not too embarrassed about this revelation. He released this statement to the press:
“I am extremely proud of my many years of service to the city of Chicago and the working men and women of organized labor,” Gannon wrote. “I have always followed the pension laws governed by the state of Illinois statute as well as the city of Chicago municipal pension plan.”
Or, you might say, manipulate the laws so that the people you put in power by giving workers’ funds to campaigns then pass laws that benefit the donors . If you want to know why setting up a PAC through a union funded by contributions that are not voluntary is so corrupt, especially when done by public sector unions, you have no better evidence at hand than this.
The city will have trouble investigating this deal, since it was made over 16 years ago, and the details do not seem to be available. Those who arranged it, obviously, did what they had to do to make the evidence about who arranged it and how it was done rather hard to find. Covering their tracks is something at which Chicago pols have become more than adept.
How Gannon worked the system is spelled out in detail. Look at this:
With his pay increasing at a steady clip, Gannon sought to get back into the municipal pension fund in 1998. To do so, he would need to restore the money he had previously taken out and start making regular contributions again as if he were a city employee. He would also have to cover the contributions that normally come from the city.
And, readers learn, he was able to do all this by getting city help, by simply writing a letter to then-Mayor Richard Daley! So a man who as a union leader and worked regularly for Daley’s election writes a letter to score an unbelievable pension for doing nothing but pretending to have worked one day at a job!
As for Gannon, don’t worry. Each year he gets 3 per cent more to adjust for inflation. You don’t want this working-class hero to suffer, do you?
Read this and weep for what happened to organized labor in this great country of ours.