President Biden announced on Dec. 8 the release of $36 billion to prevent drastic cuts to the pensions of more than 350,000 union workers and retirees.
Funded by the American Rescue Plan’s Special Financial Assistance Program, this is the largest award of federal financial support for worker and retiree pension security. The Special Financial Assistance Program secures more than 200 distressed multi-employer pension plans, ensuring up to 3 million workers’ pension plans remain solvent and pay full benefits through at least 2051.
“Before the American Rescue Plan, a wave of multi-employer pension plans were projected to become insolvent and leave millions of America’s workers without their full pension benefits,” said Labor Secretary Marty Walsh. “These were benefits their unions bargained for, and they earned. It was a deeply unfair and tragic situation.”