State Street to end traditional pensions

State Street Corp., the world's largest institutional money manager, today said it is ending the traditional pensions it offers to about 15,000 US employees, joining a growing list of firms making workers responsible for their retirement savings.

Boston-based State Street said that starting Jan. 1 it will offer more benefits in its 401(k) plans and double the amount it contributes to those plans.

State Street declined to spell out the financial impact of the move. "It is not a cost-saving initiative," said Carolyn Cichon, a spokeswoman.
(Reuters)