Tesco boosts final salary pensions pot

Supermarket
giant Tesco is increasing the amount of money it pays into the final salary
pension scheme in a bid to safeguard future benefits.

The
increase will run alongside a smaller rise in staff contributions, although the
company will pay over two-thirds of the extra cost, more than double the
employee contribution.

The
results of the firm’s three year actual valuation showed a deficit of £159m,
with Tesco 91 per cent funded, compared to 96 per cent in 1999.

The
final salary scheme currently has 40,000 members and the firm said it was
upping the contributions to meet the best interests of its staff.

www.tesco.co.uk

By Ross Wigham

 

 

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