Observers find proposals to be well intended, but add that workers have a lot to learn on annuities.
The termination, if approved, would shift billions of dollars of promised but unfunded benefits to the Pension Benefit Guaranty Corp., resulting in the biggest loss ever for the agency.Read More
The Chicago-based company contributed $500 million to its pension plans in 2011.Read More
To celebrate Workforce Management's 90th anniversary, we're running a series of articles looking at important workforce-related issues with a then-and-now theme. This installment examines the history of employer-sponsored pension (defined benefit) plans with a focus on the turbulent 1930s, what's happening with those plans today, and what the future of employer-sponsored retirement looks like. Next month, we look at the 1940s and the return of veterans into the workforce.Read More
As part of our 90th anniversary, Workforce Management is talking to some of the people and organizations that helped influence today's workplace. In this installment, Workforce Management contributor Patty Kujawa speaks with Ted Benna, the "father" of the 401(k). In the early 1980s, Benna, a benefits consultant saw an opportunity in the tax code that ultimately made 401(k) plans flourish. It earned him the "father" title. Benna says at the time there wasn't a strong incentive for employees to contribute. So in 1981 he asked the Internal Revenue Service to change certain rules, which led to today's 401(k)s. Benna is currently the president of the 401(k) Association and chief operating officer at Malvern Benefits Corp.Read More
For about 20 years, employers could erode the quality of their retirement benefits without paying much of a price. Those days are over. And wise employers are seeing greater retirement security for workers as a goal that helps both employees and the organization.Read More
In the aggregate, the plans' funding deficit hit $484 billion as of Dec. 31, 2011, up from $315 billion a year earlier and $229 billion as of Dec. 31, 2009.
With their sights set firmly on the trillions of defined contribution plan assets expected to move into customized target-date funds before the end of the decade, Bridgewater Associates LP and AQR Capital Management LLC are looking to make sure their risk-parity and hedge fund strategies are readily available for use as components within the target-date series.