Yep, the system is broken
The 1.1 trillion dollar budget legislation approved by Congress and signed this week by the President, included a provision that is supposed to prevent an implosion of multi-employer pension plans. Those in favor of this provision claim that it is better to preserve some pension benefits for workers rather than letting plans collapse… especially because the multi-employer fund is “supposed to” run out of money within 10 years. And If the multi-employer system were to collapse, pensioners would be left with no benefits. But the multi-employer plans are insured by the Pension Benefit Guaranty Corporation (PBGC), the federally sponsored agency that insures private sector pensions. So what’s the problem?
Remember when all of those banks were about to go under because of their predatory lending scams and derivative packaging frauds and phoney bond rating swindles? And the federal agency that insures their money put it all back to the tune…
View original post 411 more words