Sept 6, 2017 8:25 a.m.
DuPont quietly offers buyouts to 9,500 pensioners
DuPont quietly offered about 9,500 of its U.S.retirees a chance to exchange their pensions for a lump-sum buyout or small monthly annuity.
The Wilmington-based company made the offer last week, just days before it completed a nearly $150 billion merger with The Dow Chemical Co. Now operating as DowDuPont, the consolidated business has dual headquarters in Delaware and Midland, Michigan.
Pensioners whose plans had vested are eligible for the buyout or annuity and have between Sept. 11 and Oct. 20 to accept the offer. Payments will be made at the end of November or early December, said Dan Turner, a company spokesman.
By accepting the lump sum or annuity, pensioners can receive funds instead of waiting until they reach 62 to collect a traditional pension.
“The offer is generally targeted to former employees who are fully vested in their pension benefits, but do not yet meet the age requirements under the plan to collect them,” Turner said.
Last fall, DuPont made the same offer to about 18,000 retirees whose plans had vested.
DuPont has about 134,000 former workers on its pension plan, so about 7 percent of that number would be eligible for the buyout or annuity. If DuPont can get those ex-employees off its books, it would help close a pension gap that exceeded $8 billion at the start of the year.