IL HR1225

Over 10 million Americans participate in multiemployer pension plans supporting 13.5 million jobs; in 2015 participants received $41 billion in benefits.

The Central States Pension Fund, the largest multiemployer plan with 378,000 participants and 1,335 employers, is projected to become insolvent by 2026 due to 2008 financial crisis losses.

As of August 2017, 114 multiemployer pension plans nationwide were underfunded by $49.9 billion, affecting 1.3 million workers; the Pension Benefit Guaranty Corporation has a $65 billion deficit.

The proposed Butch Lewis Act (Senate Bill 2147) would create a Pension Rehabilitation Administration within the U.S. Department of Treasury to provide low-interest government-guaranteed loans to distressed plans, with interest-only payments for 29 years and principal repayment in year 30.

The Illinois House urges Congress to immediately pass the Butch Lewis Act, supported by employers, labor unions including the International Brotherhood of Teamsters, and the U.S. Chamber of Commerce, to prevent economic harm to Illinois and the nation.