Pension Insurer Codifies Withdrawal Liability Bailout Exception

The federal government’s private-sector pension insurer will codify guidance for multiemployer pension plans seeking an exception to phased-in employer liability under its special financial assistance program.

The Pension Benefit Guaranty Corp. released a final rule (RIN 1212-AB56) Monday that would require employers to exclude make-up payments that have been paid to participants and beneficiaries from the total amount of special financial assistance received when calculating the withdrawal liability phase-in.

Earlier this year, PBGC authorized a partial exception to strict withdrawal liability requirements under the pension plan bailout program for plans that have made up payments after having declared ...