The Indiana Public Retirement System has cut its assumed rate of return from 7 percent to 6.75 percent, becoming the first large pension system in the country to go below 7 percent.
The pension fund that holds benefits for public employees has seen improved investment returns over the last two years, but the hammering it took during the depths of the recession continues to deal a blow to cities, counties and other employers.
A record number made hardship withdrawals in the second quarter, and the number of of workers who borrowed from their accounts reached a 10-year high, according to Fidelity Investments.
The mandate from a U.S. bankruptcy judge will supply retroactive benefits to more than 6,000 Visteon Corp. retirees who lost
insurance coverage after
Michigan-based auto-parts maker filed for bankruptcy in 2009, including 2,100 workers in Indiana.
The AARP says IPL "perverted" a promise to its retirees regarding post-retirement benefits. The retirees have appealed their case to the Indiana Supreme Court.
Gov. Mitch Daniels wants legislators to revive a merger of the Indiana Public Employees Retirement Fund and the Indiana
State Teachers Retirement Fund. He says the move could save up to $50 million a year in fees.
Last fall’s Wall Street meltdown, which erased half the value of some 401(k) retirement plans, has both employers and employees
re-examining what to expect long term.
Experts worry that if unemployment worsens, even more companies could be forced to cut benefits, especially health insurance.
Angela Braly, Wayne DeVeydt and the rest of the top brass at WellPoint Inc. face wrath over the company’s recent stock swoon
from a new group: ex-employees. Four former WellPoint workers have filed lawsuits against the Indianapolis-based health insurance
giant over the losses its 401(k) retirement plan suffered in March when the company slashed its profit forecast for the year.