pension liability
Public, union pensions are 'substantially underfunded'Posted by RJ and Makay on Feb 25, 2011 |
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When it comes to meeting their pension obligations, public employers and unions are way behind corporations, suggests a new study by Cogent Research.
In a representative sample of 590 institutions with at least $20 million in pension plan assets, Cogent found that only 20% of plans can meet their financial obligations to plan participants. The deficit is due mainly to union and public pension plans: Only 10% and 12%, respectively, reported a current funding status of 95% or greater. A majority (54%) of public pensions said their current funding status is below 80%, and 16% had a current funding status below 60%.
