Average multiemployer plan funding ratios for purposes of determining withdrawal liability slipped to 80% in 2004 from 83% the previous year, and down from their peak of 98% in a 2001 survey, according to the Segal Co. Only 11% of multiemployer plans were fully funded — a record low in the survey's 22-year history and down from 83% in 2001. The survey excludes assets exceeding 100% of vested benefits, which lowers the funding ratio.
The survey also excludes investment performance of 9.5% in 2005, suggesting the average withdrawal liability funding ratio in next year's survey will improve.
