LIVE: Biden announces $36 billion in pension aid for union workers –

(AP) — President Joe Biden announced Thursday the infusion of nearly $36 billion to prop up a financially troubled union pension plan, avoiding severe cuts in retirement income for more than 350,000 Teamster workers and retirees across the United States. Joined.

The money for the Central States Pension Fund is the largest amount of federal aid provided for a pension plan, the Biden administration said, and comes from the American Rescue Plan, a $1.9 trillion coronavirus relief package that signed into law in 2021.

NewsNation will broadcast President Biden’s comments live in the video player at the top of the page.

Many union retirement plans have been under financial pressure due to lack of funds and other problems. Without federal assistance, Teamster members could have seen their benefits cut by an average of 60% over a couple of years.

“Union workers and their families can finally breathe a big sigh of relief, knowing that their hard-earned retirement savings have been rescued from deep cuts,” said Lisa Gomez, assistant secretary of labor for benefits security at the employees.

Multi-employer pension funds are created by agreements between unions and companies and are partially insured by the federal government’s Pension Benefits Guarantee Corporation. The insurance program was on track to become insolvent in 2026, but pandemic relief money is expected to keep it going until 2051.

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