EGS Electrical Group LLC will add just under $1 million to its Pension Plan for Bargaining Unit Employees, Rosemont, Ill., under an agreement reached with the PBGC.
The assets will go to participants who were laid off after its Shoemakersville, Pa., plant was closed in summer 2009, said Mark Polzin, a spokesman for parent company Emerson.
St. Louis-based Emerson’s U.S. pension plans had total assets of $3.2 billion and liabilities of $3.5 billion, as of Sept. 30, according to its 10-K annual report. Its non-U.S. plans had assets of $714 million and liabilities of $1.1 billion during the same period. She specific asset size for the bargaining unit plan could not be learned by press time.
“Emerson pension plans are well funded,” Mr. Polzin added.
The Pension Benefit Guaranty Corp. is required under ERISA to seek further plan protections when more than 20% of plan participants lose their jobs in a plant closing. The EGS plant closing affected 60 workers, which was “more than 20%,”a PBGC official said.
EGS has until June 2014 to make the payment, in addition to the company’s required contributions to the plan.
Data Editor Timothy Pollard contributed to this story.