Biden to announce $36 billion in union pension fund relief

President Biden on Thursday will announce $36 billion in relief for union pension funds using money from the American Rescue Plan, the White House said.

Labor Secretary Marty Walsh and union leaders and employees are expected to join Biden for the announcement late in the day about funding for the Central States Pension Fund, which mainly benefits Teamsters union workers, The Hill reported. 

The union pension fund in August said it had $7.4 billion in assets and applied for $35.1 billion in relief. The White House predicted that retirees would face a roughly 60% benefit reduction without aid. The administration's anticipated funding is expected to protect the pensions of over 350,000 people at least through 2051.

"Ensuring that workers and their families enjoy the retirement security they earned through a lifetime of work is a central part of President Biden’s economic plan," the White House wrote in a fact sheet about the plan.