House Passes Pension Bill
The U.S. House of Representatives passed the 900-page pension bill late last night, leaving the bill's fate in the hands of the Senate next week. From the Chicago Tribune:
The compromise measure, the product of months of wrangling followed by eleventh-hour negotiations on Friday, requires companies to step up contributions to traditional pension plans while including provisions to encourage employees to contribute to retirement savings accounts.
The bill also provides relief aimed at preventing financially troubled airlines from dumping their retiree obligations on the federal agency that insures pensions.
Northwest Airlines Corp. and Delta Air Lines, both of which warned they might be forced to terminate their pension plans unless Congress acted, would get 17 years to shore up their pension funding--10 years more than the seven-year limit for most employers to fully fund their plans.
The 279-131 vote came only hours before the House was expected to begin a five-week summer break.
Click here to read the Tribune story.