Washington: Battle over pension funding looms; Rival Republican proposals are headed for a showdown.(News)

Pensions & Investments, June, 2005

Byline: Vineeta Anand WASHINGTON - Key House and Senate Republicans are headed for a showdown over the best way to secure funding for pension plans and avert a taxpayer bailout of the Pension Benefit Guaranty Corp. The PBGC's condition will worsen, the Congressional Budget Office reported last week.

The CBO said the agency's true deficit could be close to $71 billion in the upcoming decade, more than three times the $23.3 billion shortfall reported by the federal insurance agency for the fiscal year ended September 2004. Meanwhile, Republicans and Democrats disagree on whether to clarify the legality of hybrid pension plans through legislation or leave it to the courts. Hundreds of employers with cash balance plans worry that without an addition to federal...

Read the rest of this article with a Free Trial at HighBeam Research.

Premium Content Partnership | HighBeam Research provides an in-depth online archive library of reference works.