The legislation, which will be introduced next week when the Senate reconvenes, is intended to cover all benefits lost to hourly and salaried retirees when the Pension Benefit Guaranty Corp. took over the Delphi's six defined benefit plans in 2009. The plans were terminated as part of Delphi's Chapter 11 bankruptcy reorganization.Read More
Participants in defined contribution plans should receive the first of two fee-disclosure notices by Aug. 30. This notice should include a listing of all the investments available in the plan as well as the options' fees and historical performance.Read More
According to a lawsuit filed Aug. 2 in a Florida 15th Judicial Circuit Court in Palm Beach, Wells Fargo fired Yovany Gonzalez in August 2010—three days before his daughter Mackenzie was scheduled for surgery to remove a cancerous tumor—based on allegations that he had falsified his time records.Read More
In all, the funding deficit jumped by a record $120 billion last month. Read More
Employers will continue to value plan liabilities based on interest rates on top-rated corporate bonds for three different segments, averaged over 24 months. Segments refer to when benefits are paid to participants.Read More
The airline and parent company AMR said they never promised to provide benefits for life and reserved their rights to modify the plans.
General Motors Co., in a statement, said the moves should reduce its U.S. pension liability by about $26 billion, a major step in its bid to reduce the $134 billion pension obligation on its books, which GM says is the largest pension liability for any U.S. corporation.
Among defined benefit plans offered to new hires, 54 percent are hybrid plans such as cash balance plans, which combine elements of defined benefit and defined contribution plans, but legally are defined benefit plans.Read More
Before a plan can be terminated, it needs to have all the funds necessary to pay benefits to employees. Once that happens, plan sponsors can start the process of shutting down the plan.Read More