The United Steelworkers is seeking a court order to stop U.S. Steel's reallocation of Canadian production to the United States and is condemning a threat to suspend pension plan contributions and crucial benefits for retirees.
U.S. Steel Canada says it will be filing a motion with the Ontario Superior Court of Justice seeking an order to continue its operations and obtain further relief under the Companies' Creditors Arrangement Act (CCAA) so it can operate beyond 2015.
Total assets of the world's largest 300 pension funds grew by more than 3% in 2014 (compared to around 6% in 2013) to reach a new high of more than US$15 trillion according to Towers Watson and Pensions & Investments research.
The estimated aggregate funding level of pension plans sponsored by S&P 1500 companies dropped two percentage points to 81% at the end of August. Rising interest rates helped mitigate losses in equity markets.
After seven consecutive quarters of positive returns, Canadian pension plans broke their winning streak in the second quarter of 2015.
Investment returns below public pension plans' benchmarks mean that future contributions from participating state and local governments will have to rise in order to recover lost ground, Fitch Ratings says.
The number of Canadian workers with DB plans has continued to decline, says Statistics Canada.
The financial health of Canadian DB pensions declined sharply this week after improving through most of the second quarter, says Aon.
The solvency position of Canadian pension plans rose in the second quarter of 2015 because of rising interest rates.
The last bastion of DB plans—the public sector—is under attack, but there’s still life in the DB model