General Electric, once one of the mightiest, most well-respected American corporations, announced that it’s freezing pensions, for about 20,000 U.S. employees and offering pension buyouts to 100,000 former employees, according to the Pension Rights Center.
This signals a sad ending to the once commonly held practice of companies offering pension plans to their employees to afford them a comfortable and secure retirement.
GE’s was the epitome of a success story in corporate America. In its 127-year history, the company was responsible for creating revolutionary technologies, earning amazing profits. However, now mired in problems, the company has been accused by Bernie Madoff whistleblower, Harry Markopolos, of alleged fraud.
GE was an original member of the Dow Jones Industrial Average. Its scientists invented and perfected products such as light bulbs, X-rays, refrigerators, televisions, commercial jet engines and nuclear power plants. The company also became a leader in financial services and attracted the best and brightest scholars and bankers.
The company rose to its zenith under the stewardship of legendary CEO Jack Welch.