Well done to the Co-op for keeping
open its Career Average Defined Benefit Pension scheme for its 100,000
employees. 40,000 of whom are not members at the moment and are eligible for
auto-enrolling. Gary Dewin, director of pensions for the group, said:“The
scheme is a fantastic recruitment and retention tool. We wanted to stand up and
look like we were an employer of choice.”
The Co-op scheme is 96% funded and I think helps proves the lie that there is no future for DB schemes.
The retail sector seems to be taking a lead in providing decent pensions for its staff. I posted on Morrison’s "bucking the trend" on DB last week. While recently I went to a pension meeting and met a trustee from the John Lewis (Waitrose) DB scheme which is not only still open but also still non contributory to employees!
The Co-op scheme is 96% funded and I think helps proves the lie that there is no future for DB schemes.
The retail sector seems to be taking a lead in providing decent pensions for its staff. I posted on Morrison’s "bucking the trend" on DB last week. While recently I went to a pension meeting and met a trustee from the John Lewis (Waitrose) DB scheme which is not only still open but also still non contributory to employees!
2 comments:
Well if these companies go bust, who is going to honour pension commitments?. You can't make promises you can't keep.
The pension protection fund. Paid for by a levy on all existing funds. Overseen by the pension regulator who will have to be satisfied by these companies plans in the first place.
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