Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Personnel Today

Register
Log in
Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+

Latest NewsPay & benefitsPensions

Half of employers expect to close defined benefit pension schemes within five years

by Mike Berry 13 Nov 2006
by Mike Berry 13 Nov 2006

Almost half of employers who provide defined benefit (DB) pensions expect to close them within the next five years, research has shown.

The soaring cost of meeting the requirements of the Pension Act 2004 may be to blame for the rise in expected closures, the findings of a survey by Alexander Forbes Financial Services conclude.

Six out of 10 DB schemes have seen their costs rise as a result of the Act, including the provisions for the Pension Protection Fund (PPF) and scheme specific funding, which sets out requirements for funding strategy.

Of these, 15% have seen costs rise by more than 10%, and 4% of schemes have seen their costs rocket by more than 30%.

Confidence in recent legislation to increase security of members’ pensions is also mixed. Less than half of the schemes surveyed (44%) believed that the introduction of the PPF and scheme specific funding had greatly increased the pension security for members of their company’s DB pension scheme.

Robert Macgregor, corporate development director at the firm, said: “It’s quite clear from the survey that businesses are struggling with their defined benefit pensions.

“A very high proportion of employers expect to end all DB pension provision within the next five years – building on the already strong trend to switch from DB to defined contribution.”

 

 

 

Avatar
Mike Berry

previous post
RMT members on OCS Eurostar cleaning contract vote in strike ballot over pay
next post
NHS employers must ensure staff are competent

You may also like

Police Scotland pays out £948,000 to female officer...

16 May 2022

Gender equality facing growing backlash from male managers

16 May 2022

Lack of flexibility pushes half of women to...

16 May 2022

How firms need to comply with sponsor licence...

16 May 2022

easyJet joins battle for cabin crew with £1,000...

16 May 2022

Ethnicity pay gaps: Not making reporting mandatory is...

16 May 2022

MP demands timeline on carer’s leave legislation

13 May 2022

Employment tribunal: use of word ‘bald’ can amount...

13 May 2022

Rees-Mogg under fire from civil service leader over...

13 May 2022

Prime minister steps up calls for 90,000 civil...

13 May 2022
  • What it really means to be mentally fit PROMOTED | What is mental fitness...Read more
  • How music can help to ease anxiety at work PROMOTED | A lot has happened since March 2020, hasn’t it?...Read more
  • Why now is the time to plug the unhealthy gap PROMOTED | We’ve all heard the term ‘health is wealth’...Read more

Personnel Today Jobs
 

Search Jobs

PERSONNEL TODAY

About us
Contact us
Browse all HR topics
Email newsletters
Content feeds
Cookies policy
Privacy policy
Terms and conditions

JOBS

Personnel Today Jobs
Post a job
Why advertise with us?

EVENTS & PRODUCTS

The Personnel Today Awards
The RAD Awards
Employee Benefits
Forum for Expatriate Management
OHW+
Whatmedia

ADVERTISING & PR

Advertising opportunities
Features list 2022

  • Facebook
  • Twitter
  • Instagram
  • Linkedin


© 2011 - 2022 DVV Media International Ltd

Personnel Today
  • Home
    • All PT content
    • Advertise
  • Email sign-up
  • Topics
    • HR Practice
    • Employee relations
    • Equality, diversity and inclusion
    • Learning & training
    • Pay & benefits
    • Wellbeing
    • Recruitment & retention
    • HR strategy
    • HR Tech
    • The HR profession
    • Global
    • All HR topics
  • Legal
    • Case law
    • Commentary
    • Flexible working
    • Legal timetable
    • Shared parental leave
    • Redundancy
    • Maternity & Paternity
    • TUPE
    • Disciplinary and grievances
    • Employer’s guides
  • AWARDS
    • Personnel Today Awards
    • The RAD Awards
    • OHW Awards
  • Jobs
    • Find a job
    • Jobs by email
    • Careers advice
    • Post a job
  • XpertHR
    • Learn more
    • Products
    • Pricing
    • Free trial
    • Subscribe
    • XpertHR USA
  • Webinars
  • OHW+