02-21-2021, 06:47 AM
Yep, as interest rates fall, the present value of future pension obligations increases. It impacts all business which still offer a defined benefit (pension) plan. As the present value of these future obligations increases, the plans become underfunded and companies must make a provision in their financials to account for the shortfall. If you currently participate in a pension plan at your employer and are offered a lump sum payout, grab it! The value of that payout will likely never be higher than it is now.
USPS is facing a disruption to their business model, first with faxes, then email, and now independent shippers (Amazon, etc.). It’s no wonder they struggle. I think they need to cancel Saturday home delivery as a first step to reducing expenses.
USPS is facing a disruption to their business model, first with faxes, then email, and now independent shippers (Amazon, etc.). It’s no wonder they struggle. I think they need to cancel Saturday home delivery as a first step to reducing expenses.