Rising premiums assessed by the Pension Benefit Guaranty Corp., combined with longer life expectancy, are prompting more employers to consider scaling back or even shutting down their defined benefit plans within the next year, according to an Aon Hewitt survey.
Nearly two-thirds of the employers surveyed said they plan to take some action in 2015. Almost half — 44 percent — said they already have offered terminated employees a lump-sum payout.
Aon expects that trend to continue, as 47 percent said they expect to offer a lump-sum to terminated participants in 2015.
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