How strong is your pension plan?
The government's paying more and more money to prop up failing pension plans, according to a report that a financial manager friend tipped me to today.
The Pension Benefit Guaranty Corp. paid out $14.3 billion on failed single-employer pension plans from 2000-2004, the group's new Data Book reports this week. That's 70 percent of all claims paid since the group was set up by the feds 31 years ago. A press release explains it, if you don't want to wade through the stats.
The group has assumed management of the failed Pillowtex and Cone Mills plans, and many others around the country that closed down.
Some say companies are wiggling out of their pension responsibilities too easily.
My friend scribbled two words on the report copy he sent me: "Grim news."