PBGC Gives $54.6 Million In Taxpayer Funds To Another Underfunded UFCW Pension Plan
By Peter List, Editor | May 28, 2024
On Tuesday, the Pension Benefit Guaranty Corporation (PBGC) announced it would provide $54.6 million in taxpayer money to an underfunded United Food and Commercial Workers (UFCW) pension fund. This is the second time in as many months that PBGC has announced "special financial assistance" (SFA) for an underfunded UFCW pension.
The UFCW Regional Pension Fund (UFCW Regional Fund) is based in Mount Laurel, New Jersey, and covers 4,605 participants in the service industry across the Mid-Atlantic region, primarily in Delaware, Pennsylvania, and New Jersey.
In April, the PBGC announced it would give a separate UFCW pension plan—the UFCW Local 152—approximately $279.3 million in special financial assistance, including interest, to the expected date of payment to the plan.
Special financial assistance for financially troubled multiemployer plans is financed by general taxpayer monies, the PBGC stated.
As of May 28, 2024, the PBGC has approved about $53.9 billion in SFA to plans that cover about 791,000 workers, retirees, and beneficiaries, according to the PBGC’s press release.
Go here for prior posts about the PBGC’s pension bailouts.
