REPORT: U.S. lawmakers propose taxpayer-funded bailout for failing pensions

Well, with a recession nigh, taxpayers better get ready for politicians to use their dollars for more bailouts.

With public and private pension systems collapsing and on the verge of becoming insolvent, top lawmakers are proposing a taxpayer-funded bailout for retirees who belong to some failing pension plans. Right now, there are one million Americans who are facing a retirement crisis because of these tumbling plans.

According to The Washington Post, Congress would require the Treasury Department to spend about $3 billion every year to subsidize payments for retirees belonging to underfunded pensions.

The newspaper further reported that the idea would slash benefits, raise premiums, and install new fees against businesses and union members to ensure these pensions are financially solvent.

Last week, it was reported that global pensions are facing a shortfall of $400 trillion, which is as large as the world’s top 20 economies (SEE: RETIREMENT CRISIS: $400 trillion global public pension shortfall).

Newsmax’s Peter Reagan had these dire words:

“Add it all up, and the situation doesn’t look good for public pension plan payees. Many police, fire, public education, and municipal personnel are (or will be) directly affected. But even if you’re not drawing a public pension — the majority of us do not — don’t think you’re safe. You might think failure of a state public pension wouldn’t affect you. It’s a reasonable thought, and partly correct. That’s because it likely wouldn’t affect you directly.”