The Pension Benefit Guaranty Corp., the agency that insures U.S. workers’ defined benefit pension plans, ran a $23 billion deficit during the quarter that ended Sept. 30.[@@]
Unless Congress acts soon, “the money available to pay benefits is eventually going to run out,” says PBGC Executive Director Bradley Belt.
The PBGC reached Sept. 30 with only $56 billion in assets and $79 billion in liabilities, according to an annual report that the PBGC submitted to Congress Tuesday.
Higher interest rates helped the PBGC increase its investment income to $3.9 billion and reduce liability projections by $2.3 billion. That produced an overall net gain of $529 million.