Corporate pensions are at their healthiest in more than a decade
Publishing timestamp: 2023-09-25 14:00:05
Summary
The article discusses how pension plan funding has improved since the Great Recession. The funded ratio of pension plans for the largest U.S. companies is at its highest level in over a decade. This is good news for workers who participate in these plans, as it reduces the risk of benefit cuts. The funded ratio measures a company's pension assets versus its liabilities. The article also mentions that pension plans in the private sector have become rarer over the years, with many companies replacing them with 401(k)-type plans. The recent improvement in pension funding is attributed to factors such as higher interest rates, strong stock performance, and policy changes in funding strategies.
Sentiment: POSITIVE
Keywords: employee pension benefits, personnel, labor economy, business news, s&p 500 index, united states, personal finance, aon plc, retirement planning,