Companies hard hit by Covid-19 may have to put dividends on hold if they are facing a cash squeeze but have large pension shortfalls, the UK regulator has warned.

Is this a record for the longest thread title?
It’s longer than the opening post!

And?

It would be nice if you answered instead of sneering MawBe. The headline was taken from the FT. I'm sure you will let them know what you think. My question did not need to be longer.

Not sneering- just in awe

That's not a bad thing to feel occasionally. We all do However, I am more "in awe" that this had to be said by the regulator. I would have thought/hoped that a company we be legally obliged to pay the required sum into the pension scheme before the paid dividends. I feel, and have felt for years that companies should not be able to play fast and loose with the company pension scheme.

I hate posting from my Kindle! It should be "would be legally obliged", of course.

I thought that was what they already had to do.

Or maybe I’m muddling it with bankruptcy?

I wonder how many people think that or rather assume it must be the case. I could never understand how there could be huge holes in pension schemes when companies go bankrupt. It seems they can use that money (I think but don't know) but surely it should be ringfenced. I would have thought it was not the companies money so they would have been misusing it but although some multi-millionaires pay up it often destroys what people thought their retirement would be.

Can anyone clarify?

The answer is greed.

But the law usually moderates illegal greed; it doesn't seem to be here - unless I'm missing something.