Workers shoulder risk in a DC world

Not many people have a good word to say about final salary pension schemes. They are, it is said, a doomed species. They were struggling even during the boom years, and the recession is now putting them out of their misery.

4th April, 2009

Not many people have a good word to say about final salary pension schemes. They are, it is said, a doomed species. They were struggling even during the boom years, and the recession is now putting them out of their misery. Although this view of occupational pensions contains some elements of truth, it is open to serious challenge.

Final salary (defined benefit or DB) pension schemes guarantee a fixed level of pension, usually linked to...

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