COVID-19 to leave multiemployer pension system more distressed than ever

By Kelly S. Coffing, Timothy L. Connor, and Nina M. Lantz
12 April 2020
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COVID-19’s impact goes beyond the market decline. Many industries are being hit hard by a sudden drop-off in industry activity, with concern that the recovery of normal operation could take several years, reducing the contributions coming into multiemployer pension plans. These impacts are a particular concern for mature plans (those with more benefit payments and expenses than contributions), and may have a long-lasting impact on plan funding. Without Congressional action or speedy market recovery, there will be another wave of plan failures. Lawmakers need to think carefully before providing solutions that further strain an already stressed system.

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About the Author(s)

Kelly S. Coffing

Seattle Tel: 1 206 6247940

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Timothy L. Connor

Little Falls Tel: 1 973 2788860

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Nina M. Lantz

Portland OR Tel: 1 503 2270634

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