Lump Sum No Longer An Option For Kodak Pensions
By: WROC-TV
Updated: September 17, 2012
Kodak employees who are laid off or choose to retire will not be able to take their pensions or severance packages in lump sum for at least a year.
According to the Pension Benefit Guarantee Corporation, Kodak cannot provide the benefits in lump sum because the company's pension funding is only 73 percent. Brighton Securities president George Conboy says that this change will mean severances available only as annuity payments. This is not good news for employees who may have hoped to take their pensions in lump sum while interest rates remained low.
Kodak notified all U.S. employees of the change Monday.
According to the Pension Benefit Guarantee Corporation, Kodak cannot provide the benefits in lump sum because the company's pension funding is only 73 percent. Brighton Securities president George Conboy says that this change will mean severances available only as annuity payments. This is not good news for employees who may have hoped to take their pensions in lump sum while interest rates remained low.
Kodak notified all U.S. employees of the change Monday.
Comments
Great job Mr Perize how would you like to get your severance pay at $200 a mounth and then try to pay health insurance at$923 a month way to go it must be that you were not paying into the krip fund at all the last few years nice
Arthur W.
September 17, 2012 at 10:54 pm
Great job Mr Perize how would you like to get your severance pay at $200 a mounth and then try to pay health insurance at$923 a month way to go it must be that you were not paying into the krip fund at all the last few years nice
Arthur W.
September 17, 2012 at 10:53 pm
