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
64°
H 64° L 59°
Clear | 0MPH

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

» Preps football photos of the week: Aug. 29 8/29

» The social media story of Homestead at Arrowhead football 8/29

» Allen leads Homestead football team to 24-20 victory over Arrowhead 8/28

» Bay boys soccer team opens NSC defense with 3-0 win over GT 8/26

» Reward offered in search for suspect in Mequon heroin dealing 8/26

» Poll: Will Homestead or Arrowhead win in Week 2 matchup? 8/26

» Shorewood man accused of voter fraud pleads insanity 8/25

» Shorewood man charged with illegal voting enters insanity plea 8/25

» Bus driver dies after medical episode 8/25

» New option emerges for Estabrook Dam problems 8/24

» Whitefish Bay hands Lancers, Kennedy opening-night defeat 8/22

» Preps football photos of the week: Aug. 22 8/22

» Whitefish Bay leads state in ACT scores 8/21

» Milwaukee police, U.S. marshals arrest teen in robbery case 8/20

» Police identify Milwaukee man fatally shot in Bayside store Updated:  8/15

» Mayoral race gets early start in Glendale 8/15

» Four suspects arrested in Oak Leaf Trail robbery 8/15

» 1 man, 3 juveniles arrested in attack on Oak Leaf Trail in Shorewood 8/15

» Police question 2 'people of interest' in fatal Bayside shooting Updated:  8/14

» Nicolet cancels varsity football season 8/14

» Fatal shooting in Bayside eyeglass store 8/14

» Southbound lanes of I-43 in Glendale reopened after crane crash Updated:  8/13

» Bublr bike-share coming to Shorewood 8/13

» David Bowen carries Democrat's 10th Assembly District primary 8/12

» Man killed in Mequon car crash 8/12

View All Posts Got a tip? Welcome rss
Deal Watch - Milwaukee

Milwaukee's Best Discounts & Deals

Local Business Directory

CONNECT