Minnesota-based company 3M announced updates to its U.S. non-union pension plan starting in 2028.
according to statement issued by the companyPension-eligible employees will continue to receive benefits under the pension plan until the freeze date of December 31, 2028.
This decision applies to both 3M and future independent healthcare company U.S. pension plans.
Former employees receiving a defined pension, retirees from 3M or 3M Health Care, and anyone currently receiving a pension are not affected.
The company says the transition from a pension plan to a 401(k) retirement plan has been in the works for many years. In 2009, the company closed Portfolio II of its U.S. pension plan to new hires and rehires.
“This is an important decision for 3M and will help both companies set up for future success. This was also a difficult decision as it impacts employees across the United States. To help, we provide employees with five years' advance notice to ensure they can plan alternative strategies to meet their retirement income needs,” said Mike, 3M Chairman and CEO. Roman said.
