"Despite an improving U.S. economy, retirement plans covering roughly 1.5 million workers are severely underfunded, threatening benefit cuts for current and future retirees, a federal watchdog agency warned Monday. The Pension Benefit Guaranty Corporation (PBGC) said multi-employer plans, which are collectively bargained retirement plans maintained by more than one employer, are most at risk. "Plan insolvencies ... are now both more likely and more imminent than in our last report," the report said. At the same time, the agency said single-employer pension plans - covering just over 30 million participants - are on firmer financial footing and are likely to remain so at least over the next 10 years."
News from The Associated Press