Private Sector Pension De-risking and Participant Protections

This document is about the National Retiree Legislative Network's examination of pension de-risking practices, with a focus on the risks they pose to retiree income security. It discusses the Verizon case where 41,000 management retirees were involuntarily transferred to an annuity provider, losing PBGC protections, as well as the risks associated with lump sum buyouts. The document proposes several measures to protect participants, such as requiring participant consent or reinsurance for annuity transfers, and ensuring the ongoing plan remains at least as well funded after a de-risking transaction.