Board to Puerto Rico: Cut pension system, impose furloughs

A federal control board is ordering Puerto Rico to cut its public pension system by 10 percent, furlough tens of thousands of workers and remove Christmas bonuses to generate savings amid an economic recession.

The seven-member board voted unanimously on Monday on those and other measures in a 10-year fiscal plan meant to help rescue the U.S. territory's economy.

Gov. Ricardo Rossello had resisted those measures because he said they would represent too big of an economic impact for many on the island of 3.4 million people. Board members warned that the government is running out of money and that everyone in Puerto Rico will need to make sacrifices.

Puerto Rico is facing nearly $70 billion in public debt that it is seeking to restructure.