09Jan

3M to freeze U.S. pension plans

News , ,

3M Co., St. Paul, Minn., will freeze its U.S. pension plans for nonunion employees at the end of 2028.

The company said pension-eligible nonunion employees will accrue benefits until Dec. 31, 2028, according to a Jan. 8 news release.

3M had closed its primary U.S. pension plan to new hires effective Jan. 1, 2009. The change will affect employees at both 3M and Solventum, the healthcare company that is expected to spin off from 3M in the first half of 2024.

“This is an important decision for 3M as it helps to set up both companies for future success. This was also a difficult decision because it impacts employees across the United States,” said Mike Roman, chairman and CEO, in the news release. “To help those impacted, we are providing five years of advance notice to ensure our employees can plan alternative strategies to meet their post-retirement income needs.”

As of Dec. 31, 2022, 3M’s U.S. pension plan assets totaled $12.648 billion, while projected benefit obligations totaled $13.505 billion, for a funding ratio of 93.7%, according to its most recent 10-K filing.

 

 

Read more @pionline

Related Posts

22Nov

US. Public pension funding ratios drop in October, first dip since April — Milliman

The overall estimated funding ratio of the 100 largest U.S. public pension plans fell in October, the first such... read more

22Nov

Cardinal appointed for ‘urgent’ Vatican pensions overhaul

Pope Francis said he had taken an “essential step” by naming Cardinal Kevin Farrell “sole administrator” of the pension... read more

22Nov

Australia. Why some people deserve an age pension before others: new research

However, the ageing population presents long-term fiscal challenges to the sustainability of social welfare systems of advanced economies such... read more

21Nov

US. Soaring Corporate Pensions Boost Retirement Security

Corporate pensions in the United States have been experiencing their strongest performance in over a decade. According to data... read more

21Nov

UK. Industry calls for more flexibility around CDC regulation

There has been strong support for government proposals to introduce multi-employer CDCs, as the consultation on Occupational Pension Scheme... read more

21Nov

US. CalPERS affirms commitment to ESG amid changes coming to Washington

CalPERS CEO Marcie Frost affirmed the $522.4 billion pension fund’s commitment to environmental, social and governance investing in the face of... read more

21Nov

How India’s Gig Worker Unions Are Fighting for Change

Syed Lateefuddin was only in the first week of his job as a driver for Uber when an early... read more

20Nov

South Africans Withdraw $1.94 Billion From Pensions

South Africans have withdrawn 35.1 billion rand ($1.94 billion) from retirement funds since new laws came into effect three... read more

20Nov

Healthy New Town: Revitalizing neighborhoods in the wake of aging populations

Planned suburban residential neighborhoods in metropolitan areas known as new towns were initially developed in England. The new town... read more

20Nov

‘Golden Girls’ no more: How America’s concept of old age became outdated

The idea of retirement is losing its luster The stereotype of retirement as a time to play golf, travel and... read more