Central States Pension faces insolvency by 2025, calls retirees to action

The Central States Pension Fund, which covers 400,000 retirees and active workers, will be insolvent by 2025, and only an act of Congress can save it, according to the fund’s executive director.

Thomas Nyhan, issued that notice Wednesday evening in hopes of getting the pension’s members to contact lawmakers about the issue.

Central States pays out far more in benefits to current retirees than it receives in retirement contributions or investment returns. The fund has about $15 billion in it but pays out about $2 billion more than it takes in each year.

It has been hurt as many of the companies that contribute to the fund have failed or left the fund.

The handling of the fund has drawn scrutiny, with the Government Accountability Office launching an investigation of it.

Read more: Kansas City Star

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