FINAL SALARY SCHEMES STATUS M Last Updated Friday, November 13, 2009 |
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Comments: Solvent employer closing pension fund but has now made up loss to members |
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October 2007: WORKERS made
redundant when Malcolm Engineering Company (MEC) closed earlier this week
are facing fresh financial problems after it emerged the firm has
defaulted on its payments into their pension funds.
About 60 people have lost their jobs since the Darlington company called in administrators early last month after falling into financial difficulties. The company stopped trading last Friday after the hunt for a buyer proved "unachievable", with only about six people still employed as the site is wound up. But yesterday, former employees at the company, which has traded in the town for more than 40 years, revealed they were still owed money by MEC after discovering that a pension payment had not been made. |
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Jan 2007:
The retailer said it would inject 500 million pounds
into its final-salary fund and put a large chunk of its property into a
partnership with pension trustees to cut a major shortfall. Its
final-salary scheme is closed to new staff.
May 2007 M&S pension scheme members will have to choose one of the three following options:
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The House of Lords has ruled
workers can not appeal against a High Court ruling in July 2003 which
meant nearly 1,000 workers who were made redundant face losing six per
cent of their pensions every year until the age of 65 - thus a 55-year-old
worker who was made redundant from Massey faces losing as much as 60 per
cent of his company pension. The pension row started in 2002 when ACGO, the American firm which owns Massey Ferguson, announced the tractor manufacturing plant in Banner Lane was to close. A High Court ruling originally went against ACGO, but the company appealed and the decision was overturned. |
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Directors of Mayflower were switched into generous and ring-fenced
final-salary pension schemes as the busmaker headed for the rocks, chief
executive John Simpson is guaranteed at least £300,000 a year. Two other
directors, David Donnelly and John Fleming, are also in line for
six-figure pension payments. All three quit end of March 2004 after a £20
million black hole was found in its accounts that came to light after a
former employee blew the whistle on accounting irregularities.
Under section 35 of the government Pensions Bill, former Mayflower directors such as David Donnelly, finance director, and John Fleming, joint managing director, could be personally liable to plug the pension fund hole. |
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The company, one of the city’s biggest employers, has confirmed it
is now consulting over its proposal to end its existing scheme and replace
it with one based on average career earnings.
McVitie’s parent company United Biscuits was taken over in 2006 in a £1.6 billion deal with private equity firms the Blackstone Group and PAI Partners, who assured staff that it would be business as usual. The takeover was quickly followed by calls that the new owners should fund the food group’s £213 million pension deficit. |
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Comments: Employees will get nothing, pensioners will not get indexing. |
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Comments: now Bronx/Taylor Wilson |
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9 April 2005 According to actuaries,
the MG Rover Group pension scheme has a deficit of between £49 million
and £67 million, but winding up the scheme could mean the shortfall
ballooning to £400 million.
Jan 2006 Trade and Industry Secretary Alan Johnson has written to all former employers of MG Rover, Powertrain and suppliers warning them of a potential 47 per cent reduction in their pensions. Unions have already held three meetings with the PPF - and were optimistic the Longbridge pension schemes would be accepted. The PPF, introduced by the Government two days before MG Rover went bust on April 8 last year, aims to pay 100 per cent of the pension to which members who have already reached the schemes' retirement age are entitled. It also aims to pay 90 per cent of the benefits people would have received when they are 65 if they have not reached this age, up to maximum of £25,000 a year. |
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Comments: May 2007: The tyre company announced 1 May 2007 it planned to close its final salary pension scheme on December 31, 2008 and replace it with a new one. Staff, union officials and pension trustees are to be consulted on the plan to switch to a defined contribution - or money purchase - package from June 1. Michelin says it was forced into the move because its pension deficit - the amount of money it has to find to pay pensioners - grew from £57 million to £260 million between 2002 and 2006. |
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Comments: November 2009: It said the scheme's deficit had risen from £37m in 2001 to £275m last June. Members of the group's scheme will now have to switch their pensions to other products. "The Group is proposing to close the defined benefit pension schemes to future pension build-up. |
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Comments: June 2009 Morrisons has cancelled its finals salary scheme for existing members. From July, Morrisons will move its final-salary pension scheme's 4,500 existing members – who still work at the grocer – into one based on the average they earn over their career. Morrisons shut its final-salary scheme to new members in 2003. |
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Comments: Solvent and wound up their scheme in March 97. Moore Products was taken over by Siemens plc in 2000 who closed the factory and merged it with other divisions of Siemens |
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Comments: September 2008 accepted by PPF |
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(includes
Clayton Walker Gasholders, formerly Clayton Son & Co Ltd and
Walker Engineering
Ltd).
The
Motherwell Bridge Group Pension Fund is still going through the wind-up
process started in September 2003, but is now subjected to a Management
Buy Out.
As a result of the MBO the Pension Fund Plan will receive an additional £5
Million, the additional £5 Million is the value put on the 24,900
ordinary shares that the Pension Fund Plan was given in the newly
restructured Company in September 2003. |
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The information on this website has been supplied by members of the various final salary schemes listed and others. Accuracy is important to us, but errors are inevitable as the subject itself is an extremely emotive one so the information on this site cannot be guaranteed. We hope that we have reflected the current situation in as an unbiased way as possible.