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PensionRisk

Bakery & Confectionery Union Industry International Pension Fund

multiemployer plan · BCTGM International Union · Kensington, MD

ACTIVEPBGC Covered

Bakery & Confectionery Union Industry International Pension Fund is severely underfunded at 42%, with $4.1B in unfunded liability. Plans in this bracket face significant solvency risk and are typically on regulatory funding-improvement plans, with active intervention from PBGC for private plans or state pension boards for public ones.

Bakery & Confectionery Union Industry International Pension Fund is a multi-employer pension plan sponsored by BCTGM International Union — a collectively-bargained plan covering workers across multiple employers in the same industry or union. Multi-employer plans are PBGC-insured but under a different (and historically less-funded) program than single-employer plans. The plan remains active — accruing new benefits for current employees and accepting new participants. Among private-sector single-employer plans, the active status is increasingly rare as employers freeze accruals while continuing to fund existing obligations; public-sector plans are more often still actively accruing.

The plan is mid-sized: $3.0B in assets, 100,402 participants (14,943 active, 75,720 retired). Mid-sized plans often outsource investment management to institutional advisors and follow standard actuarial conventions. Participant mix skews toward retirees (75,720 retired vs 14,943 active) — a mature plan paying out more than it accrues. Mature plans need stable investment returns plus sponsor contributions to keep the funded ratio steady; the cash-flow profile is increasingly net-negative. Annual cash flows: $120M in sponsor contributions versus $350M in benefit payments. Investment performance over the most recent year ran 4.6%, against the plan's assumed long-term return of 6.5%.

PBGC risk classification: critical. The plan faces mandatory rehabilitation under PBGC rules; participants should monitor benefit guarantees carefully. Multi-employer plans like Bakery & Confectionery Union Industry International Pension Fund have PBGC backing under a separate (and historically lower-funded) guarantee program. The 2021 American Rescue Plan provided substantial federal support to the multi-employer system, but long-term solvency varies plan-by-plan.

Source: DOL EFAST2 Form 5500 filings and Boston College CRR Public Plans Database.

D
Pension Health Score
45/100
Funding Status42% Funded
0%80% threshold100%
$3.0B
Total Assets
$7.1B
Total Liabilities
$4.1B
Unfunded Liability
100,402
Participants

Funding History

What This Means for You

Bakery & Confectionery Union Industry International Pension Fund is significantly underfunded at 42%, with $4.1B in unfunded liabilities affecting 100,402 participants. Plans at this funding level face difficult choices: raising contributions substantially, reducing future benefit accruals, or in extreme cases, applying for benefit suspensions. The PBGC has flagged this plan as critical status. If you are a participant, it is important to understand your options and consider diversifying your retirement income sources.

Year-by-Year Funding

YearAssetsLiabilitiesFunding RatioContributions
2023$3.0B$7.1B41.8%$120.0M
2022$2.9B$7.8B37.0%$116.4M
2021$2.8B$7.0B40.0%$112.8M
2020$2.7B$8.0B34.0%$109.2M
2019$2.6B$7.3B36.0%$105.6M

Frequently Asked Questions

Bakery & Confectionery Union Industry International Pension Fund is 42% funded, meaning it has 42 cents in assets for every dollar in future benefit obligations. This is significantly underfunded and participants should monitor the situation closely.

Bakery & Confectionery Union Industry International Pension Fund has 100,402 total participants, including 14,943 active employees and 75,720 retirees currently receiving benefits.

Yes, Bakery & Confectionery Union Industry International Pension Fund is covered by the Pension Benefit Guaranty Corporation (PBGC), which provides a backstop if the plan cannot pay benefits. The PBGC risk level is currently "critical."

The Pension Health Score (0-100, A-F) measures a pension plan's financial strength based on funding ratio (50%), funding trend over 3 years (30%), and PBGC risk level (20%). Higher scores indicate more secure retirement benefits.

Last updated:

Pension Health Score is calculated from funding ratio, 3-year funding trend, and PBGC risk classification.