At a time of tumbling share prices and longer life expectancy, many companies have acute shortfalls m their pension funds. Pension schemes in the UK are protected by a government fund contributed to by companies themselves, but many British business leaders have been lobbying for a change of rules mn instances of a company restructuring. A company ts currently required to fully cover tts pension liabilities when disposing of a division  a rule seen by some as obstructive to corporate activity. In theory, new legislation could allow businesses to transfer their pension liabilities to other divisions. However, critics believe that this could give organisations carte blanche to shift their pension obligations to entities likely to become insolvent, thus forcing other organisations to subsidise their pension commitments.
Question: A change in pension legislation will help companies to reduce the hole in their pension schemes.
Options:
A. true, B. false, C. uncertain
Answer: C