What would happen to retiree’s health and pension benefits if any or all of the Big Three went bankrupt. Wouldn’t govt insurance bailout much of the pension benefits anyway? But all? How about health insurance… could any level of benefit survive bankruptcy?
Have any of the bailout discussions touched on givebacks in this area? I don’t think so but is there much of a possibility that they might?
One and only bump… I promise.
Nobody knows whether the government guarantees 100% of auto worker pensions if bankruptcy.
Another question maybe…is the union contract 100% null and void upon bankruptcy?
I sorta assumed that the Big Three pay into a pension/health insurance fund for its retired workers while the worker is still working, so that if they go under the fund will still exist for already retired workers to be taken over by some other entity (the gov’t, the UAW, etc). Dunno if that’s actually the case though.