Opportunities for Improving Army Oversight of Pension Plans at Government-Owned, Contractor-Operated Ammunition Plants

The Army Armament Command manages a complex of 25 government-owned, contractor-operated (GOCO) ammunition plants. The contractors are responsible for employing the work force and establishing wage rates, pension programs, and other fringe benefits. About 48 pension plans covered eligible employees at 21 GOCO ammunition plants; there were no pension plans at the remaining 4 plants. The government's share of pension plan contributions at all the plants since the plans began has exceeded $100 million.