Does anyone know what an employer's legal responsibilities are in relation to funding a DB scheme?
Many DB schemes are currently refusing to grant early retirement due to funding issues.
This is entirely understandable in a situation where the employer's own finances are such that it can't afford to make sufficient contributions to the scheme to fund early retirements as well as all the other liabilities.
But what happens if the employer can afford to keep the scheme well-funded? Is there a legal obligation on them to do so, or can they unilaterally decide to refuse early retirements also?
Many DB schemes are currently refusing to grant early retirement due to funding issues.
This is entirely understandable in a situation where the employer's own finances are such that it can't afford to make sufficient contributions to the scheme to fund early retirements as well as all the other liabilities.
But what happens if the employer can afford to keep the scheme well-funded? Is there a legal obligation on them to do so, or can they unilaterally decide to refuse early retirements also?