Fears rise over defined benefit deficits

Jobs as well as pension benefits are in jeopardy as equity market falls continue to impact on defined benefit schemes, the Actuarial Profession has stated. Tom Ross, president of the Faculty of Actuaries, noted underfunding of pension funds is growing, caused in part by falls in global market returns. Summing up some of the key trends in the last year, he said funding problems are creating serious risks for employees. He said: 'Significant deficits expose employees to double jeopardy, both their job and their pension in fact, which is exactly what pension funds are there to avoid.' ...