There was a write up in the WSJ about a particular type of pension called a voluntary employee beneficiary association, or VEBA. You can read the article for the particulars of this type of pension but the bigger point is that like other pensions, one element that will determine the future is stock market performance and the realization that the VEBAs mentioned can't count on the expected returns built into the plan. The general take is that one way or another, retirees and future retirees are going to be adversely affected. There will be benefit cuts and current workers will need to pay in more and more.
One point I have made over the years is that if there is not enough money saved, then something will have to give - either lifestyle, working longer or saving more before retiring. This pertains to defined benefit plans too. All manner of retirement plans are facing some serious headwinds. The viability of social security and medicare as we know them has come into question, pensions are underfunded and savings rates and average 401k balances are generally much lower than they need to be.
I've also made clear the extent to which I think sole reliance on something like a pension or social security is destined to end badly for a lot of people. The reality that I think is coming down the road is various forms of "bailouts" for people who are not otherwise prepared for their financial futures. If you are somewhat prepared, or in even a better position than that, then you will not think the bailouts (there will be some other word) are fair because you won't benefit.
The benefit though is the psychic value of your own self-sufficiency and not having to fret over whether you will get one of these retirement bailouts. Self sufficiency is very empowering and not to be minimized. As far as not having to fret over the bailouts, financial stresses are very bad for us so the extent to which we can have one less source of financial stress or mute the impact of a stresser offers the opportunity for being healthier. This always draws disagreement which is good but this is a philosophical point of not wanting to be at the mercy of something that is both beyond your control and on very shaky ground.
