Risky Pension Plans

Published On: Jul 01 2014 08:18:18 AM EDT
WASHINGTON -

A federal watchdog agency warns that despite an improving U.S. economy, retirement plans covering roughly 1.5 million workers are severely underfunded, threatening benefit cuts for current and future retirees.
    
The Pension Benefit Guaranty Corporation says multi-employer plans, which are collectively bargained retirement plans maintained by more than one employer, are most at risk.
    
At the same time, the agency says single-employer pension plans - covering a little more than 30 million participants - are on firmer financial footing and are likely to remain so at least over the next 10 years.
    
The report says as shaky as the situation is for underfunded multi-employer plans, the outlook is slightly better than it was just a year ago as the nation's economy gradually improves from the severe 2007-2009 recession.

Comments

The views expressed below are not those of News4Jax or its affiliated companies. By clicking on "Post," you acknowledge that you have read the Terms of Service and your comment is in compliance with such terms. Readers, please help keep this discussion respectful and on topic by flagging comments that are offensive or inappropriate (hover over the commenter's name and you'll see the flag option appear on right side of that line). And remember, respect goes both ways: Tolerance of others' opinions is important in a free discourse. If you're easily offended by strong opinions, you might skip reading comments entirely.

blog comments powered by Disqus