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Wells Fargo freezes traditional pension plan
Wells Fargo & Co. told employees on Monday it will no longer contribute to their traditional pension plan, effectively cutting the total compensation of its workers less than two weeks after announcing record first-quarter profit.
The San Francisco bank is combining its existing program with that of Wachovia Corp., the Charlotte, N.C., bank it acquired in December, and freezing both companies' cash balance plans, a type of defined benefit plan.
"We must manage expenses prudently to help Wells Fargo continue our long track record of profitable growth so have decided to have one team member retirement plan for the combined company," spokesman Chris Hammond said in a statement. "These decisions were difficult and we are confident that we're taking the right steps to ensure the long-term strength of our company."
http://www.sfgate.com/cgi-bin/articl...BU2S17F7M2.DTL
Wells Fargo & Co. told employees on Monday it will no longer contribute to their traditional pension plan, effectively cutting the total compensation of its workers less than two weeks after announcing record first-quarter profit.
The San Francisco bank is combining its existing program with that of Wachovia Corp., the Charlotte, N.C., bank it acquired in December, and freezing both companies' cash balance plans, a type of defined benefit plan.
"We must manage expenses prudently to help Wells Fargo continue our long track record of profitable growth so have decided to have one team member retirement plan for the combined company," spokesman Chris Hammond said in a statement. "These decisions were difficult and we are confident that we're taking the right steps to ensure the long-term strength of our company."
http://www.sfgate.com/cgi-bin/articl...BU2S17F7M2.DTL