Why IBM’s new retirement plan has the industry buzzing. Rather than doing a 401(k) match, the tech giant will contribute to a “retirement benefit account,” a type of benefit that is more similar to a pension.
by mafco
Why IBM’s new retirement plan has the industry buzzing. Rather than doing a 401(k) match, the tech giant will contribute to a “retirement benefit account,” a type of benefit that is more similar to a pension.
by mafco
2 comments
The real question is who owns the account. Sure the company is solid right now. But remember all the pilots that lost 95% of their pensions when the big three filed for bankruptcy restructuring. The judge took a pen stroke and eliminated that.
We’ve come full circle…
IBM spear headed getting rid of pensions for 401k almost 20 years ago and now moving back towards a pension type benefit that seems less beneficial to the worker. I remember how once they did it many other companies followed within a few years (including mine at the time). This was all right before the 2008 crash.