Friday News Dump: PBGC Gives Bakery Union's Failing Pension Plan $3.4 Billion
In just two days, the PBGC has announced $5.8 billion in taxpayer monies will be given to five underfunded pension plans.
By Peter List, Editor | June 21, 2024
Less than 24 hours after announcing nearly $2.4 billion would be given to four failing union pension plans, the Pension Benefit Guaranty Corporation (PBGC) announced on Friday that it would be giving $3.4 billion in taxpayer monies to a bakery union’s severely underfunded pension plan.
The Bakery and Confectionery Union and Industry International Pension Fund (Bakery and Confectionery Pension Fund). which is based in Kensington, Maryland, and covers 103,056 participants in the bakery, confectionery, tobacco, and grain milling industries, will receive approximately $3.4 billion in special financial assistance (SFA), according to the PBGC announcement.
The announcement coincides with news that Democrats have begun to use the pension bailouts as a campaign talking point for the November elections.
“As of June 21, 2024, PBGC has announced approval of over $60.3 billion in SFA to plans that cover about 1,018,000 workers, retirees, and beneficiaries,” the PBGC noted. “Special financial assistance for financially troubled multiemployer plans is financed by general taxpayer monies.”
With the PBGC’s announcement Friday coming on the heels of Thursday’s announcements, the PBGC will have announced nearly $5.8 billion in taxpayer monies just this week to pay for underfunded union pension plans.
Go here for prior posts about the PBGC’s taxpayer-funded pension bailouts.