GE: takes steps to reduce pension deficit

(CercleFinance.com) - On Monday the conglomerate GE announced a series of measures to reduce its pension deficit by around five to eight billion dollars, as well as its industrial net debt of about four billion to six billion dollars.


The US group will freeze the pension plan of some 20,000 employees with salary benefits, as well as additional retirement benefits for about 700 employees in the US, as from 1 January 2021.

GE will pre-finance approximately 4 billion to 5 billion dollars of its estimated minimum ERISA funding requirements for 2021 and 2022. Finally, it will provide 100,000 former employees with a (limited-term) option to receive their benefits in the form of a lump sum.


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