ING ups scheme contribution to €1.8bn
NETHERLANDS- ING Group plans to contribute €1.8bn into its pension fund, nearly triple the amount it contributed in 2008.
Spokeswoman Carolien van der Giessen said the firm would make a contribution of €814m in the first quarter of 2009 to shore up a shortfall in its Dutch pension scheme. Meanwhile, it said standard contributions will be €1bn this year, up from €633m last year, because of lower interest rates and a rise in life expectancy.
The Dutch government requires pension funds to be 105% funded, but ING's contributions will bring the funding levels to 107%, she said.
Separately, officials at the firm have asked 1,200 member of its senior management to return 2008 bonuses.
Company officials have put out a "moral call" to management to voluntarily return their bonuses.
The firm issued a total of €300m (US$405.1m) in bonuses in 2008 split among 40,000 employees worldwide, said van der Giessen. She said the company already cut the amount of bonuses by 50% this year.
The firm uses three criteria to determine whether or not to offer bonuses- officials consider the group performance, business line performance and individual performance.
In this case, she said, there were some individuals who qualified for bonuses.
ING said it is also re-evaluating its bonus structure for the future. Under the new rules, which are still being finalized, the company will not pay bonuses if ING experiences an overall loss, said van der Giessen.
The Dutch government requires pension funds to be 105% funded, but ING's contributions will bring the funding levels to 107%, she said.
Separately, officials at the firm have asked 1,200 member of its senior management to return 2008 bonuses.
Company officials have put out a "moral call" to management to voluntarily return their bonuses.
The firm issued a total of €300m (US$405.1m) in bonuses in 2008 split among 40,000 employees worldwide, said van der Giessen. She said the company already cut the amount of bonuses by 50% this year.
The firm uses three criteria to determine whether or not to offer bonuses- officials consider the group performance, business line performance and individual performance.
In this case, she said, there were some individuals who qualified for bonuses.
ING said it is also re-evaluating its bonus structure for the future. Under the new rules, which are still being finalized, the company will not pay bonuses if ING experiences an overall loss, said van der Giessen.
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