Alan Cabral and Grace Roh Published in the Journal of Pension Benefits "PBGC Proposed Regulations; Withdrawal Liability"

Alan Cabral and Grace Roh's article, "PBGC Proposed Regulations; Withdrawal Liability," was published in the Spring 2008 issue of the Journal of Pension Benefits.  In the article, Cabral and Roh advise that "employers need to be aware of certain statutory changes made by the Pension Protection Act in relation to pension plan withdrawal liability rules." The Pension Benefits Guaranty Corporation (PBGC) has issued proposed regulations that make certain changes to ERISA's multiemployer pension plan withdrawal liability rules and according to the authors,"these new rules could, in some cases, dramatically alter the amount of withdrawal liability that would otherwise be assessed to an employer withdrawing from a multiemployer pension plan."

Cabral and Roh stress that "under the PPA, multiemployer pension plans are required to provide employers, upon request, with certain actuarial reports and other financial information. These plans also are required to provide employers with such information in the event the plan's funding status is 'endangered' or 'critical.' These added disclosure requirements will allow employers a better ability to monitor the financial health of the plans in which they participate."