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Editorial: Government's Disgrace -- A Bad Showing in Dealing with Pension Reform
The Washington Post; subscription may be requiredLink to more items from this source
[Opinion]
Oct. 17, 2005
Excerpt: The story begins with the hole in the nation's defined-benefit pension plans, the type that -- unlike 401(k) plans -- promise a fixed proportion of salary upon retirement. The rules governing these plans are dysfunctional: They allow companies to promise workers lavish benefits while setting aside too little money to pay those benefits when the time comes. Rather than keep workers happy with wage increases, which would have to be paid for with real money,[.]

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