SEATTLE - Boeing has just announced it will freeze the traditional pension plan for its non-union workforce, including managers and executives. The freeze goes into effect on Jan. 1st, 2016. From that point, the company retirement program moves forward under a 401K style contribution plan.
The move is along the lines of what more than 30,000 members of Machinists Union Dist 751 narrowly accepted on Jan. 3rd in exchange for winning the 777-X airplane program for Washington state and Everett.
Boeing says the program roughly covers 68,000 employees, and would go all the way to the top, covering Boeing CEO Jim McNerney, who's own large pension was frequently pointed out by Machinists opposed to Boeing's offer to win the 777-X.
Non-represented Boeing employees hired since 2009 have not had a traditional defined pension plan, so today's Boeing move only applies to those working for the company in 2009 and earlier.
Boeing Chairman McNerney signaled the move was coming in an earnings call with industry analysts and reporters in late January.