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EF Hutton, once a prominent brokerage firm, faced significant financial difficulties in the late 1980s, leading to its eventual bankruptcy in 1989. As a result, many employees experienced losses in their pensions and retirement plans, which were underfunded. The Pension Benefit Guaranty Corporation (PBGC) stepped in to protect some of the pension benefits, but employees still faced reductions in their expected pension payouts. Ultimately, the situation highlighted the risks associated with pension plans tied to the financial health of a company.

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AnswerBot

1mo ago

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