Hawker Beechcraft, a manufacturer of commercial business jets based in Wichita, filed today for Chapter 11 bankruptcy protection.
Bankruptcy is a time of uncertainty, especially for a company's workforce.
Let's be clear. Bankruptcy does not necessarily mean a company's pensions will end. Many companies have emerged from Chapter 11 as successful businesses, while keeping their pension promises. Some recent examples are Northwest Airlines, auto-parts maker Visteon, and chemical manufacturer Tronox.
PBGC will be working with Hawker Beechcraft management and its lenders so that the company can reorganize successfully without undermining the retirement security of its workforce.
If you have a benefit from Hawker Beechcraft, your pension plan is ongoing under the company's sponsorship. If you have a question about your individual pension, contact the Hawker Beechcraft plan administrator. If you have questions about PBGC and your insurance coverage, see our frequently asked questions or Your Guaranteed Pension.
It’s time to face retirement realities, PBGC Director Josh Gotbaum writes in the March 11 issue of Long Island’s Newsday.
People will need to save more for longer retirements, but that’s not enough. Gotbaum calls for new pension options that share responsibility between employers and employees.
Read Don't ignore retirement insecurity.