UK - BAe Systems has agreed to take on a major share of the costs needed to plug a £2.16bn deficit across its seven schemes.
Originally, the firm had suggested splitting the costs equally with staff members.
But, its revised offer to meet 60% of the additional funding has now been approved by trustees.
A memo to scheme members sent by a source says: “The changes were subject to the approval of the trustees who, after extensive consultation with their professional advisers, approved the changes.”
Final salary benefits will be maintained for all existing members and any contribution increases will be phased in over the three years following actuarial evaluations.
BAe’s offer also stipulated that, in the event of future improvements in the scheme funding position, members would benefit first.
Last month BAe was downgraded by ratings company Standard & Poor’s to triple-B – just one place above junk level.
The firm also saw its credit rating cut by Moody’s Investor Services from A2 to Baa1 – three places above “junk” level.
And earlier this month, accounting giant PricewaterhouseCoopers warned that banks are reviewing loan arrangements to companies with DB scheme deficits, such as BAe.
The Pensions Regulator (TPR) and Labour MP Stephen Kinnock and will listen to the experiences of steelworkers when transferring their pensions away from the British Steel Pension Scheme (BSPS) next week in Port Talbot.
Just Group has acquired a 75% stake in the holding company of Corinthian Pension Consulting in a bid to strengthen its professional defined benefit (DB) advisory services.
The Pensions Regulator (TPR) has exercised its production order power under the Proceeds of Crime Act 2002 for the very first time as part of a fraud investigation.
The ITN Limited Pension Scheme has named Trafalgar House as its administrator for an initial term of five years.