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Biden’s union pension bailout: What it means, and will it work?
Experts say new details reveal risks of the Biden pension plan
By Breck Dumas FOXBusiness
The Biden administration unveiled details this week of the final rules surrounding the federal bailout of hundreds of union pension plans passed as part of Democrats' $1.9 trillion American Rescue Plan Act coronavirus relief package last year, saying it will secure workers' benefits for decades to come.
ARPA's Special Financial Assistance Program injects $90 billion of taxpayer funds into the federal government's Pension Benefit Guaranty Corporation, which insures private-sector pensions. Prior to the passage of the purported COVID package, the PBGC was set to become insolvent in 2026.
The White House claims the plan will prevent 2 to 3 million workers from having their pension payments cut in retirement, by saving upwards of 200 private-sector union plans that had been in danger of insolvency.
President Biden touted the accomplishment during a speech in Ohio on Wednesday, saying that retirees in the shaky plans who have already seen cuts in benefits "will have them restored retroactively," and that he "turned a promise broken into a promise kept."
"We saw before the pandemic and the economic crisis that followed," Biden said, "Millions of retirees were at risk of losing their retirement security through no fault of their own, based on conditions and unrelenting attacks on unions that were taking place."
But some pension experts are skeptical of the plan, and are raising concerns.
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https://www.foxbusiness.com/politics/bidens-union-pension-bailout-what-means-will-work
