Bloomberg Law
Free Newsletter Sign Up
Bloomberg Law
Free Newsletter Sign Up

Multiemployer Pension Bailout Staves Off PBGC Insolvency

Sept. 20, 2021, 9:46 PM

Special financial assistance Congress approved this year for cash-strapped union-brokered retirement plans appears to have also rescued the federal government’s private-sector pension insurer.

The Pension Benefit Guaranty Corporation’s multiemployer insurance program faced insolvency by 2026, according to last year’s estimates, but new projections the agency issued Monday showed “substantial improvement” to its long-term financial outlook.

“The difference between these projection reports and reports from recent years is night and day,” said PBGC Director Gordon Hartogensis, in a statement. “That is great news for the millions of workers, retirees, and their families who rely on the agency.”

Congress signed off on ...

To read the full article log in.

Learn more about a Bloomberg Law subscription