BGN Entrepreneur

Wm Morrison was Britain’s fourth-biggest supermarket operator. Recently, the employers of the group were warned not to use the recession as an excuse to water down staff pensions after Morrison became the third blue-chip company this week to take the axe to its final salary sheme.
It is said that the company is altering its defined benefit scheme so that the 10000 employees in it would clock up future pension benefits based on their career-average pay, and not there final salary. The move was announced 24 hours after Barclays said that it was closing its final salary pension sheme for 18000 long-serving staff and 48 hours after BP said that it was closing its final salary scheme to new recruits.
The Morrison scheme has £2 billion of assets. At the worst, its deficit neared £300 million. Morrison began consulting the trustees a year ago and has injected £200 million into the scheme.

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