BIPARTISAN MEASURE WILL BRING RETIREMENT SECURITY TO MILLIONS

Washington, DC: Today the Senate passed by 97-2 the Pension Stability and Transparency Act, a bipartisan measure that would bring retirement security to millions of Americans. In the past five years 700 pension plans have gone into crisis and millions of workers have lost $8 billion in pension benefits that they had been promised. The bill, sponsored by Senators Kennedy, Enzi, Baucus and Grassley, requires companies to protect their pensions with rules that are fair and predictable and includes needed changes to help avoid the danger of plans that are terminated. “At a time when so many seniors are struggling to pay their bills for food and rent, the soaring cost of gasoline and prescription drugs and the possible threat of corporate cutbacks or the elimination of their pensions altogether, true reform is long overdue. The retirement security of millions of hard-working Americans is at risk.” Senator Kennedy said. “This bill reflects strong bipartisan cooperation -- it deserves the support of the White House and should be enacted immediately.” The reforms in this bill would require companies to put aside enough money to pay for pensions they have promised. It would stop corporate executives from lining their pockets when workers’ pensions suffer and also would require companies to give workers timely and accurate information on their pension plans. It would allow troubled pension plans the leeway they need to get back on their feet. And it would provide greater retirement security for widows and former spouses.