28 06, 2017

UPS to Freeze Pensions for 70,000 Workers to Reduce Costs

2017-06-28T18:05:20-07:00June 28th, 2017|Categories: Pension Funding|Tags: |

United Parcel Service Inc. will freeze a pension plan for about 70,000 nonunion U.S. employees because of escalating costs and volatility in determining future payments, replacing it with a different retirement benefit. UPS joins companies including DuPont Co. and Lockheed Martin Corp. in freezing pensions, which means that some or all participants may stop accumulating benefits. UPS’s retirement obligations are on top of a $1 billion jump in capital spending being planned for this year to handle a surge in [...]

27 06, 2017

UPS to Freeze Pension Plans for Non-Union Employees

2017-06-27T21:00:17-07:00June 27th, 2017|Categories: Defined Benefit Plans|Tags: , |

United Parcel Service Inc. plans to announce changes to its benefits plan Wednesday, sources told Dow Jones, freezing the pension plans for thousands of non-union employees. The company's pension fund is currently running a $10 billion deficit, according to Dow Jones. UPS has more than 484,000 employees worldwide, and 80% of those employees reside in the U.S. Any retirement plan changes would only affect management, however, and UPS has about 78,000 management level employees. The company's pension plan was 76% [...]

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