PBGC Announces nearly $650 Million In Taxpayer Monies To Go To Four More Failing Union Pension Plans
So far, taxpayers have paid $54.6 billion to underfunded multi-employer pension plans.
By Peter List, Editor | June 12, 2024
The Pension Benefit Guaranty Corporation (PBGC) has announced the bailout of four more failing union pension plans over the past week, costing taxpayers another $647.8 million. That is on top of the roughly $54 billion taxpayers have already paid to bail out failing union pension plans since 2022.
On Tuesday, the PBGC announced it approved approximately $545.6 million in special financial assistance (SFA) to the CWA/ITU Negotiated Pension Plan (CWA/ITU Plan), based in Mount Laurel, New Jersey. The plan, which covers 24,288 participants in the printing industry, was projected to become insolvent and run out of money in 2029.
The PBGC also announced Tuesday that it approved special financial assistance for another failing Teamsters pension plan. The Teamsters Local 102 Plan, based in Cherry Hill, New Jersey, and covering 508 transportation industry participants, will receive approximately $12.4 million.
Last Thursday, the PBGC announced it approved approximately $26.8 million in special financial assistance for the Maryland Race Track Employees Pension Plan, which is based in Laurel, Maryland, and covers 1,407 participants in the service industry.
The PBGC also announced last Thursday it approved approximately $63 million in special financial assistance (SFA) for the Radio, Television and Recording Arts Pension Plan. The plan, based in New York City, New York, covers 516 participants in the entertainment industry and was projected to become insolvent and run out of money in 2027.
“As of June 11, 2024, PBGC has announced approval of about $54.6 billion in SFA to plans that cover about 818,000 workers, retirees, and beneficiaries,” the PBGC stated. “Special financial assistance for financially troubled multiemployer plans is financed by general taxpayer monies.”
Go here for prior posts about the PBGC’s taxpayer-funded pension bailouts.