News Archive Search
2,000 Carillion staff subject to pension upheaval
31 July, 2008The final 2,000 Carillion employees currently on a defined benefit pension scheme will lose that deal, it has been revealed, bringing them in line with 50,000 other employees.
The final 2,000 Carillion employees currently on a defined benefit pension scheme will lose that deal, it has been revealed, bringing them in line with 50,000 other employees.
The pensions shake up regards final salary pensions, and the next move will see 2,000 employees move onto a defined contribution pension regime, in order to save the company from risk, it has been reported.
In a letter to its staff, Carillion wrote: "Your pension scheme is well funded and managed, but the combined size of the pension funds listed above is very large compared with the size of Carillion.
"This means that a small change in the value of the pensions promised could have a damaging effect on our business."
The letter goes on to describe that it is essential for Carillion to predict and control financial risks involved in helping its employees with retirement.
In 2007 Carillion's pension scheme was in a deficit of £76 million, although by the end of the year it was brought down to just £14 million.
The long, drawn-out sale of British Energy (BE) to EDF Energy has come to an end after the French energy firm bought BE for £12.5 billion, it has been reported.
Government hopes to have an EDF Energy-British Energy (BE) tie up within two weeks have been dubbed "optimistic" by the British nuclear company, according to a recent report.
Gordon Brown is facing the prospect of a major defeat over the government's reluctance to impose a windfall tax on energy companies, it has been reported.
The City of London has launched a campaign against Gordon Brown in order to convince him that introducing a windfall tax on energy companies should be avoided.
TaylorWimpey has reported phenomenally poor first half results for the year so far, recording a loss of £1.5 billion, it has been announced.