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Already, some airline employees are taking steps to protect themselves against future pension losses.
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Some degree of measurement error is no reason to defer recognition; accounting statements are filled with estimates about future events—about warranty expenses, loan loss reserves, future pension and postemployment benefits, and contingent liabilities for environmental damage and product defects.
This would not only avoid the negative consequences at an individual level associated with leaving the labour market (loss of income, smaller future pension, etc).
Future pension benefits will be reduced sharply.
Delphi's future pension obligations alone are valued at $8.5 billion.
Janitorial services were outsourced, eliminating the future pension cost burden.
Nor did she get a stake in any future pension.
Detroit's case may give San Bernardino the courage to cut its future pension liabilities.
Staff would be cut, reducing salary and future pension and benefit costs.
On the other hand, Japan could reduce its future pension obligations by reforming the system.
Assumptions about future pension returns may have to be lowered.
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Justyna Jupowicz-Kozak
CEO of Professional Science Editing for Scientists @ prosciediting.com