FedEx will need to borrow $1.5 Billion to shore up it's pension program.
FedEx to Borrow $1.5 Billion for Contribution to Pension Plan After Tax Changes
For decades FedEx has claimed that it's pension was fully funded, just like Enron did right up until the government had to step in and guarantee some of those pension payments.
Back in 2008 FedEx froze our traditional pension, but 10 years latter they are having to borrow $1.5 billion in order to shore it up. The real reason that we lost our pension was that in the wake of Enron Congress passed new laws that REQUIRED proper funding of companies pension programs each and every year. FedEx did not want to follow those new regulations and decided to get rid of the traditional pension and go with a much, much worse for the employees plan called the portable pension program...that is anything but "portable" or a "pension"
FedEx to Borrow $1.5 Billion for Contribution to Pension Plan After Tax Changes
For decades FedEx has claimed that it's pension was fully funded, just like Enron did right up until the government had to step in and guarantee some of those pension payments.
Back in 2008 FedEx froze our traditional pension, but 10 years latter they are having to borrow $1.5 billion in order to shore it up. The real reason that we lost our pension was that in the wake of Enron Congress passed new laws that REQUIRED proper funding of companies pension programs each and every year. FedEx did not want to follow those new regulations and decided to get rid of the traditional pension and go with a much, much worse for the employees plan called the portable pension program...that is anything but "portable" or a "pension"