The company has been negotiating with the pension regulator and the PPF in a bid to offload its pension liabilities and a decision is expected soon.
Most, if not all, members of the scheme would see a reduction in benefits.
Those under retirement age would receive an immediate 10% cut in their pension pot.
In addition, annual payments to most members, including those already retired, would be less in the PPF than if the Hoover scheme continued.
At about £500m, the pension scheme is roughly the same size as BHS.
BHS pensions is already receiving compensation from PPF which acts as a lifeboat for pensions so people are paid even when a company goes bust or is about to and if there are insufficient assets in the scheme.
BHS is being assessed for take-over by the organisation.
The Hoover scheme has a deficit of about £250m.
Parent company Hoover Candy stopped producing washing machines in Merthyr Tydfil in 2009, blaming competition in the marketplace.
More than 300 workers lost their jobs although there is still a head office and a distribution warehouse in the town.
It is believed about half of the Hoover pension scheme's 7,800 members live in Wales.
Pensions expert Stuart Price, partner at Quantum Advisory, said: "Members of the pension schemes will lose out on their benefits but, on the flipside, those still employed by the company will retain their jobs.
"At the moment they [members] don't know what's happening so they can't really plan for their short-term future.
"If they get a 10% reduction [for those under 65] and lower increases in the future they might find it very hard to overcome."
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The Asian Civilisation Museum (ACM) bought the artwork for $650,000 (£420,000) from New York dealer Art of the Past in 2007.
The company's manager later admitted selling stolen Indian antiquities, including the bronze being returned.
The allegations first came to light during a 2012 court case against the firm for trafficking antiquities.
The sculpture of Hindu goddess Uma Parameshvari is thought to have been stolen from a Shiva temple in Tamil Nadu in southern India.
The decision to return the item came after discussions between Singapore's National Heritage Board and the Indian government body looking after its antiquities, the Archaeological Survey of India (ASI).
The ASI submitted an official request for the return of the sculpture in May, according to the museum.
"While there is no conclusive proof that the sculpture was stolen from a Shiva temple in Tamil Nadu, India, ACM took note of the confession of Aaron Freedman, who was the manager of Art of the Past, of dealing in looted Indian antiquities and of criminal possession of 150 stolen objects," the museum said in a statement.
It was one of 30 objects ACM bought from the art dealer, although none of the others are thought to be listed as stolen. The ASI was reportedly allowed to view them, anyway.
The museum said it will take legal action to get compensation for the apparent fraud.

Jacob McIntyre's body was recovered from the River Ericht at Cally Bridge, near Blairgowrie, at about 12:35 on Sunday.
He had been reported missing from a property in the nearby Milton of Drimmie area at 11:15.
A police investigation into the circumstances of his death is continuing.
Police, firefighters, a water rescue unit and air ambulance were involved in the search.
Police Scotland said Jacob's family were "understandably upset at their tragic loss" and did not want to make any further statement at this time.
Det Chf Insp Iain Wales said: "This is a very tragic incident which resulted in a young boy sadly losing his life.
"The events will undoubtedly bring shock and sadness to this small community and further afield.
"We would like to thank our Scottish Fire and Rescue Service colleagues for their courage and assistance in Sunday's difficult conditions.
"Our thoughts and deepest condolences are with Jacob's family at this difficult time."
Up to 4,000 people in Wales could be affected if the Hoover pension scheme goes into the Pension Protection Fund (PPF), BBC Wales understands.
[NEXT_CONCEPT]
A Singapore museum will return to India an 11th Century sculpture believed to have been stolen from that country.
[NEXT_CONCEPT]
A two-year-old boy found dead in a river after being reported missing in Perthshire has been named by police.