Pension benefits that are protected under the Pension Benefit Guaranty Corporation can become an ethical issue because:

Question

Quizplus · Accepted Answer

All three options pose ethical concerns related to pension benefits protected under the PBGC. If a company with a pension plan cannot meet all of its obligations, it raises questions about the company's responsibility to its employees and the fairness of the pension system. If the PBGC cannot meet all company pension obligations if a company goes bankrupt, it could lead to financial hardship for retirees who rely on those benefits. Finally, if the PBGC is underfunded and unable to meet its obligations, it calls into question the government's commitment to protecting the retirement security of American workers. All three scenarios raise ethical concerns about the treatment of retirees and the responsibility of companies and government entities to live up to their pension obligations.

Pension Benefits That Are Protected Under the Pension Benefit Guaranty