Several lawmakers and consumer advocacy groups have called on Congress to introduce a bill that would allow the Central States Pension Fund to receive financial assistance from the federal government, the Washington Post reported Monday.
Jonnelle Marte writes the multi-employer retirement benefits program is out of strategies to avoid a looming insolvency.
“At this time, only government funding, either directly to our Pension Fund or through the [Pension Benefit Guaranty Corp.], will prevent Central States participants from losing their benefits entirely,” Fund Director Thomas Nyhan was quoted as saying by The Post.
The report said PBGC, which serves as a safety net for private-sector pension plans, has also faced long-standing financial challenges.
Sens. Sherrod Brown (D-Ohio), Claire McCaskill (D-Missouri) and Ron Wyden (D-Oregon) urged Senate Majority Leader Mitch McConnell (R-Kentucky) to help address the country’s pension crisis before the congressional summer break.