Benefits & Executive Compensation News

Multiemployer Pension Program Insolvent by 2026, PBGC Says (2)

Sept. 14, 2020, 7:56 PM; Updated: Sept. 14, 2020, 9:57 PM

The federal pension insurer’s struggling multiemployer program is currently sustainable until 2026, delaying earlier projections of a collapse by one year.

The Pension Benefit Guaranty Corporation’s latest estimates indicate that propping up the most financially distressed corporate pension programs is unsustainable in the long term without a legislative fix.

“No scenario shows the Multiemployer Program remaining solvent beyond 2027 under current law,” PBGC director Gordon Hartogensis wrote in his second annual projections report. House lawmakers tossed around some pension solvency proposals months ago, but nothing ever came of it.

The new 10-year projections calculate that the PBGC’s multiemployer program, which...

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