Shaky economy imperils church pensions

Religious denominations have long provided retired clergy and staff
with secure pension payments--more secure, in some cases, than corporate
retirement plans. But some recent developments have drawn attention to
the vulnerabilities of so-called church plans, which are exempt from
federal regulations aimed at safeguarding retirement funds for
private-sector retirees.

As cash-strapped states and private
companies revamp, freeze or end their pension programs altogether,
participants in church plans are now realizing that such plans can be
riskier than they appear, observers say.

"As a group, employees in
so-called church plans are far more at risk than other private sector
employees," said Karen Ferguson, director of the Pension Rights Center, a
Washington-based watch­dog group.