The Boston Business Journal reports that the board of directors of the health care system voted to go ahead with the bankruptcy filing, and it was filed Monday. The board also voted to terminate the pension plan.
Following the decision to terminate the pension plan, all employees were moved to a 403(b) retirement plan, according to the news report. The health care system will continue to pay out funds from the pension plan that have already been accrued.
The Boston Business Journal said Northern Berkshire’s second largest obligation is from pension funds, in the amount of $20.8 million, held in trust by the Pension Benefit Guaranty Corporation (PBGC).