PS Bethlehem

1. Many U.S. corporations have offered defined - benefit (DB)
pension plans. Who are all the stakeholders in this U.S. corporate
defined - benefit system?
The stakeholders in the U.S. corporate defined - benefit
system are creditors, directors, employees, government (and its
agencies), owners (shareholders), suppliers, unions, and the
community from which the business draws its resources.

2. For what type of firms and institutions does offering a DB pension
plan still make sense today? Why?

Large corporations still can offer a DB pension programs. A
defined benefit plan is an employer-sponsored plan in which a
retired individuals are scheduled to receive a certain amount
(usually based on salary and years of service) in his/her
retirement years. Usually an employee may not direct where the
money is invested and must be with the company for a period of
time before the rights to the account are yours . Defined benefit
plans put a constraint on a business and are often more complex
and, thus, more costly to establish and maintain than other types
of plans.