A cash balance plan is a defined benefit retirement plan that maintains employee accounts like a defined contribution plan. The hypothetical nature of the individual accounts was crucial in the early adoption of such plans because it enabled conversion of traditional plans without declaring a
plan termination.

Years ago when the majority said; "nah, I am good, I'll stick with the traditional pension." FedEx bluff was called and then they just said screw you, were taking it away anyway and replacing it with something more "flexible!" So 5-6% of your gross salary contributed to a separate account that grows at the Treasury rate of about 1% annually. Assuming Express even decides to keep this model down the road. One Accrues a lump sum payout of well under what a trad pension could be. I am fairly convinced if you are a 20 year + guy/girl hourly at top pay and vested, they hate you and you are marked. You cost too much and are not in line with the future labor model of the company.