Sentences with phrase «pension promises»
"Pension promises" refers to the commitments made by a company or government to provide retirement income to its employees or citizens. It signifies the assurances made about the amount and duration of pension benefits that individuals will receive in the future, usually after they have finished working. Full definition
Also, few considered that the current cost of pension promises would eventually force its way into government funding.
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What he said was that instead of using that money to fully fund pensions promised to public sector employees — teachers and school employees — instead we were using it to hire extra staff.
While traditional pensions promise retirees a fixed monthly benefit for the rest of their lives, 401 (k) s and other defined contribution plans offer no such guarantees.
While traditional pensions promise retirees a fixed monthly benefit for the rest of their lives, 401 (k) s and other defined contribution plans offer no such guarantees.
We need assets, not bookkeeping entries, backing federal pension promises.
Even those numbers don't include costs hidden away in pension promises to «instructional personnel,» who are typically eligible to retire as early as the age of 55.
State tax receipts are still rising; borrowing at the states is down for now, but defined benefit pension promises may come back to bite on that issue.
They rely on increased taxation, and the willingness of the courts to enforce pension promises.
Public pension crisis: States across the country face structural budget deficits as a result of too - generous pension promises made to their employees.
The ground is being prepared for a neoliberal «cure»: cutting back pensions and health care, defaulting on pension promises to labor, and selling off the public sector, letting the new proprietors to put up tollbooths on everything from roads to schools.
«There is also the risk that lower paid staff in particular will simply opt out, leaving HMT [HM Treasury] with reduced receipts in the short term while still having to pay for past pension promises,» he wrote.
On a dollar for dollar basis, there's much more risk involved in compensating a worker via a long term pension promise instead of salary or some other benefit expensed in the present.
The biggest error belongs to the politicians and bureaucrats who voted for and negotiated higher pension promises instead of higher wages.
The long - term costs of New York's inflated pension promises were obscured or grossly understated until it was too late.
«Over the years they have not put in enough money to meet the cost of new pension promises — they have put money into equities rather than bonds and that risk has not paid off.
For years, accounting tricks have kept the long - term fiscal impact of pension promises hidden away, turning pension plans into Ponzi schemes by asking future generations to pay legacy costs that have long been accumulating.
Yet because of a legal environment that typically considers all public - sector pension promises, once made, to be «constitutionally protected,» policymakers have few other choices.
States and districts are likely to feel rising pressure from unfunded pension promises.
Public pension promises are huge and, in many cases, funding is woefully inadequate.
Granada Group Limited v The Law Debenture Trust Corporation plc [2015] EWHC 1499 (Ch) Whether shareholder approval was needed for the grant of a charge to Law Debenture as trustee to secure pension promises to directors of the company or whether the pension scheme exemption applied.
«However, the reality is that the final salary pension promise was, in times gone by, easy to make, but it is harder to keep in today's world.
Oregon provides a useful case study in pension legacy costs because many school districts in the state are now reallocating General Fund expenditures to cover sizeable past pension promises.
When presented with such a choice, we don't know if teachers would make smart financial decisions, or if there might be some perverse incentives for people who take up the buy - out offers, but judging by places that have tried similar efforts, there might be large portions of teachers who would prefer upfront cash payouts over long - term pension promises.
That will be one nasty political fight, which might result in the death of certain sacrosanct laws governing the inviolability of pension promises to state employees, and perhaps Federal employees.
We're very aware of our commitment and responsibility for our pension promise.
In a letter dated 12 April 2010, [6] Webb said on behalf of the Liberal Democrats: «We are very clear that all accrued rights should be honoured: a pension promise made should be a pension promise kept.
While it has received # 28.8 billion of assets from the pension fund, it has also been left with # 37.4 billion of liabilities, which are the pension promises made to Royal Mail's workers.
Honouring, in full, the pension promises that have been earned by scheme members (their «accrued rights») and maintaining the final salary link for past service for current members;
This time, the script by Theodore Melfi («St. Vincent,» «Hidden Figures») leverages the post-financial meltdown Trump era animosity toward banks and big multi-national corporations that consider the pensions they promised their long - term employees as just another stream of revenue to redirect to investment bankers and CEOs.
Brown's pension funding proposal is merely a plan at this point, and politicians don't have a strong track record of fulfilling their pension promises.
The other half is that the current structure carries no cost for politicians who make pension promises but fail to live up to them.»
In today's low - return environment, the pension promises being made to state and local employees in general, and public school teachers in particular, have become very expensive and difficult to maintain largely because the largesse of the pension plans assumes long run returns on the order of 7.5 percent (or higher).
But for many young teachers, that pension promise is broken.
This paper first describes how Oregon's past pension promises, as compared with nearby Washington's, affect the level of resources available to compensate new teachers.
You may still want to contribute to an RRSP to finance luxuries, to provide you with a buffer against inflation, and to guard against the possibility that your employer will go bust and renege on its pension promises, but, in all probability, those contributions will simply increase your security, not determine your retirement lifestyle.
That way, you are to some extent findependent of government programs or — God forbid — findependent of a corporate pension plan that fails to make good on its pension promise once you're too old to go back to the work force.
If it's partially funded and you were asked to get by on just 70 % of the pension promised, how would that affect your retirement planning?
That said, the pension promises made to those older in most developed countries are not sustainable.
Jordan, my deep suspicion with respect to the pension plan sponsors is that they are looking at the gap between the yield they can get from investment grade bonds and the yield they need to fund the pension promises, and they realize that they are going to have to make a larger allocation to risky assets.
I have said before that it is foolish to take more risk in order to try to get ahead of the pension promises.
«Clearly the pension promise has been broken by the company.
Bill Jones, director of the Canadian Federation of Pensioners, says Sears is another example of a broken, or partially broken, pension promise.
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