Unilever latest to shut down final salary pension scheme



Food and household product manufacturer Unilever has become the latest major company to close down its final salary pension scheme to existing members.

The firm, who are the latest in a long line to make such a move, explained the scheme had become “increasingly unaffordable and unsustainable”.

Unilever announced it would start a 90 day consultation with staff and unions as the change’s will affect the schemes 7000 active members.

The scheme was shut to new staff in 2008.

In a statement released yesterday the firm said, “Under the proposed new arrangements, existing final salary scheme members would be offered a two-part scheme consisting of a defined benefit career average plan plus a defined contribution investing plan with effect from 1 January 2012.”

The news came on the same day that the Pension Protection Fund (PPF) revealed that March’s surplus figure for the 6,533 final-salary pension schemes in the private sector of this country was £45.5billion, down from £48.4billion in February.

Leave your comment

  • (not published)