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Benefits May 11, 2006
Web Eases Pension Plan Administration
May 11, 2006 (PLANSPONSOR.com) - Web-based pension
plan administration systems have reduced the number of
pension calls human resources departments get by
three-fourths, according to a new report.
Reported by Adrien Martin
According to consultant Watson Wyatt Worldwide, the rising number of defined benefit plan freezes and the large aging population nearing retirement could create an administrative overload for plan administrators.
“As the baby boomers begin to retire, companies are increasingly swamped with requests for pension payout estimates. Such demands will only increase in the coming decades,” said Tony DeNucci, national leader of pension administration systems for Watson Wyatt, in a press release.
DeNucci noted that more and more companies are turning to Web systems as a way to give employees easy access to plan information and prevent administrative costs from becoming too high. He also warned in the news release that pension obligations do not evaporate when plans are frozen.