Contribution Scheme: John Lewis

contribution scheme: After three years of service, workers' pension pots will receive an additional 4% of pay from the company, regardless of whether they pay into the scheme or not, according to The Independent. The latest cut to benefits at the staff-owned retail group, which is seen as offering the gold standard in employment terms, comes after John Lewis slashed its annual staff bonus to the lowest level in 66 years after profits dived. After the pension move from April next year, all 83,900 workers at the John Lewis Partnership, which also owns the Waitrose supermarket chain, will have access to a defined contribution scheme under which the company will match staff payments of up to 8% of pay. Until now John Lewis has been one of only a handful of UK businesses still offering a link to final salary in its pension scheme. It has been forced to close stores and lay off staff amid rising costs and a slowdown in consumer spending partly prompted by uncertainty linked to Brexit. The change comes after the group switched to the hybrid model four years ago in a previous effort to reduce costs. (news.financializer.com). As reported in the news.