IBM has been a leader in employee relations - not because they always do what's best for their employees but because the changes they make are copied by other companies. This technology company was one of the first to eliminate pensions in favor of 401(k) plans, effectively moving the onus for retirement saving from the employer to the employee. Whether you agree with this philosophy of the individual being responsible for his or her own retirement is irrelevant - it's a reduction in company-funded benefits, putting more risk in the hands of the employees, and helping boost the financial industry and the companies that manage funds in 401(k) and administer the plans.The rest of the country's corporations followed IBM's plan, greatly reducing their future expenses by reducing and eventually eliminating pensions.
IBM Cutting Major Employee 401(k) Benefit
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