A government agency announced this week that it will contact more than 8,000 workers and retirees of bankrupt Consolidated Freightways to review their records and calculate benefits owed them.
The Pension Benefit Guaranty Corp., a federal agency that protects retirees' pensions, said it has taken over responsibility for the CF pension plan. The PBGC said the plan has about $228 million in assets to cover $504 million in promised benefits.
The agency said it has filed claims against the company in bankruptcy court for the estimated $276 million shortfall, according to a story in the Akron Beacon Journal. The newspaper said the company also failed to make a $1.8 million required contribution by April 15.
Consolidated Freightways, based in Vancouver, Wash., closed operations on Labor Day last year, putting 15,500 people out of work.
The PBGC said it is going to contact all CF workers and retirees, review their records and calculate the benefit due to each according to plan provisions and limits on federal guarantees.
Under a federal pension law, the maximum guaranteed pension at age 65 for participants in plans that terminate this year is $43,977.24 a year.
Workers and retirees with questions can call the PBGC at (800) 400-7242.
The Pension Benefit Guaranty Corp., a federal agency that protects retirees' pensions, said it has taken over responsibility for the CF pension plan. The PBGC said the plan has about $228 million in assets to cover $504 million in promised benefits.
The agency said it has filed claims against the company in bankruptcy court for the estimated $276 million shortfall, according to a story in the Akron Beacon Journal. The newspaper said the company also failed to make a $1.8 million required contribution by April 15.
Consolidated Freightways, based in Vancouver, Wash., closed operations on Labor Day last year, putting 15,500 people out of work.
The PBGC said it is going to contact all CF workers and retirees, review their records and calculate the benefit due to each according to plan provisions and limits on federal guarantees.
Under a federal pension law, the maximum guaranteed pension at age 65 for participants in plans that terminate this year is $43,977.24 a year.
Workers and retirees with questions can call the PBGC at (800) 400-7242.
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