[Joe Bfstplk]

Delphi's retirees face similar cuts if the company follows the lead of steel companies and airlines that have successfully used the bankruptcy courts to offload their pension obligations to the federal Pension Benefit Guaranty Corporation, an agency set up in 1974 that is funded by contributions from premiums paid by companies. Once the agency takes over a pension plan, workers receive only part of their benefits.

The dumping of pension plans on the taxpayers will be the equivalent of the savings and loan debacle in the '80s.

[drt1]

I don't think it is that bad. In the S & L debacle the Gov't took over the failed units and then sold of their assets a super bargain basement prices to the well connected in what, IMO, were patently fraudulent transactions. We picked up the difference between what they gave away and what was owed. (Incidentally, Ted Kopple bought his estate from the Resolution Trust Corp just this way and I bet you and I could never have even bid against him for it)

[Ursus arctos horribilis]

When company was downsizing and I took early retirement, it was for this reason I rejected the monthly paycheck and lump summed out. Whatever happened to the money once in my hands, I would have none to blame but myself.

[Alberta's Child]

The dumping of pension plans on the taxpayers will be the equivalent of the savings and loan debacle in the '80s.

One big difference is that a pension plan that is dumped on the taxpayers doesn't pay nearly as much as the original plan. If your pension plan is taken over by the government, your monthly pension benefit may be less than half of what it would have been under the original plan.