NOW:53092:USA01012
http://widgets.journalinteractive.com/cache/JIResponseCacher.ashx?duration=5&url=http%3A%2F%2Fdata.wp.myweather.net%2FeWxII%2F%3Fdata%3D*USA01012
25°
H 27° L 25°
Light Snow | 14MPH

Petri Bill Would Correct Pension Inequity

Feb. 7, 2013

Washington, D.C.—Today, U.S. Representative Tom Petri (R-WI), a senior member of the House Committee on Education and the Workforce, introduced bipartisan legislation to correct an inequity in the way survivor benefits are provided by the Pension Benefit Guaranty Corporation.

The Pension Benefit Guaranty Corporation (PBGC) is a federal agency that provides pension fund insurance to ensure that a business's defined benefit pension obligations will be met, even if the company is in financial distress and has to end an underfunded plan. The PBGC covers both single employer plans and multiemployer plans.

In single employer plans, if a covered employee dies prior to retirement, that employee's spouse will receive an annuity, known as a pre-retirement survivor annuity. However, in multiemployer plans, the surviving spouse will only receive this annuity if his or her spouse dies before the PBGC has taken over the plan. If a covered employee dies after the PBGC takes over the employer's pension plan, that employee's spouse will not receive an annuity.

"It's a legal inconsistency, and it isn't fair to those who happen to be in multiemployer plans," said Petri. "There is no reason why the widow or widower of a hardworking employee should be denied an annuity simply because his or her spouse did not die before the plan was turned over to the PBGC.

"Spouses have an expectation of receiving survivor benefits as promised by the employer. We should correct this error—which appears to be inadvertent—so that widows and widowers can receive the benefits they deserve."

Congressman Petri introduced this bill (H.R. 566) with Rep. Rob Andrews (D-NJ), who is the ranking member of the Subcommittee on Health, Employment, Labor, and Pensions. Reps. Petri and Andrews also introduced a similar bill—H.R. 5981—in the 112th Congress.

This site uses Facebook comments to make it easier for you to contribute. If you see a comment you would like to flag for spam or abuse, click the "x" in the upper right of it. By posting, you agree to our Terms of Use.

Suburban News Roundup

E-mail Newsletter

Your link to the biggest stories in the suburbs delivered Thursday mornings.


Enter your e-mail address above and click "Sign Up Now!" to begin receiving your e-mail newsletter
Get the Newsletter!

Login or Register to manage all your newsletter preferences.

Community Watch

» Cinderella debuts at Maple Dale tonight 1/30

» Glendale man thwarts robbery by pointing gas pump nozzle 1/30

» Whitefish Bay wrestlers beat Homestead on parents/senior night 1/29

» Answers and winners of the Suburban Selfies contest revealed! 1/29

» French Pastry School chef, Nebraska prof to lead natural yeast class at North Shore Boulangerie 1/28

» Beer could flow during Glendale's Fourth of July 1/26

» Whitefish Bay native 'Kit' Carson was Rush Limbaugh's right-hand man 1/26

» Crews clear crash that closed left lane of northbound I-43 at Glendale Updated:  1/26

» Without Showalter, Germantown boys rally for win over Whitefish Bay 1/23

» Medical examiner's report released in death at Bayshore Town Center Updated:  1/22

» 21-year-old man who fell from Bayshore balcony has died 1/22

» Apartment project proposed for Glendale 1/22

» Washington boys basketball team too quick for Brown Deer, 59-49 1/21

» Fleeing the scene of a robbery, suspects crash stolen car near Whitefish Bay 1/19

» Strong fourth quarter lifts Homestead girls past Whitefish Bay, 44-34 1/17

» Bay boys hang on, 44-42, after losing big lead against Homestead 1/16

» Motivated Germantown wrestlers beat Nicolet, 63-15 1/15

» Suburban Selfies contest extended through Jan. 25; two selfie solutions to get you started! 1/15

» 109-lot subdivision approved in Mequon 1/13

» Man critically hurt in fall 20 feet from Bayshore mall balcony Updated:  1/13

» Bayside home damaged in Sunday fire 1/12

» Germantown boys late rally keeps Homestead at bay, 65-58 1/9

» Crews clear crash that closed lane of northbound I-43 at Bender Road Updated:  1/8

» North Shore school, municipal officials announce candidacy for April election 1/7

» Thousands remember, pay homage to Germantown great Datka 1/4

View All Posts Got a tip? Welcome rss

Advertisement

Advertisement

Local Business Directory

CONNECT