Thread regarding Schlumberger Ltd. layoffs

yes the equities and commercial real estate and such are not so hot right now, but it would be irresponsible if the trustees were to move entirely out of that and into safer harbor like cash (too conservative, etc)

basically they're not overweighted in any one asset class, which is as much as we could ask for. and if all the asset classes were to take a beating simultaneously, then we've all got larger problems to worry about!

the most recent visibility into the pension's management is for year end 2018, filed in october 2019. meaning we won't see the composition of 2019 holdings until many more months from now. i wish that information was filed with the authorities sooner.

All - I really appreciate the answers posted here, some great information and advice. Like one on the posters I was a 20+ year seniority and over 40 years old. My pension knowledge was always good, upon severance I felt in a black hole suddenly what to do, in the next chapter for sure I will not put my eggs in the one basket!

These answers are great thanks for taking the time - take care.

The stocks and investments such as commercial property have been utterly hammered in the last year and the view forward is grim. These pay dividends to the fund. Be warned.

The pension plan are above 90% funding, so they're secure. The investment are also diversified across bonds, treasuries, international market, emerging market, even some real estate trusts, etc.

Historical performance is ... average. Forward assumption is 7.5% growth. SLB pays 13M per year in fees to maintain the pension

You can see all these in the public IRS 5500 filing

Take it out and roll it over into another fund. Best solution if you still need to hold on till you can draw on it. It's your money. You have control.

I asked this question to BACO benefits regarding the IM pension (ISPP). Here was their answer below. Of course, I'm still concerned about the scenario when SLB eventually goes bankrupt. How then will the trust manage any shortfalls? Uniform across the board % cut to all pensions?

Answer from BACO along with my initial question:
Is there any guarantee on the pension? As payments could be made 40-50 years from now, what happens if SLB goes bankrupt or has financial difficulties in the future?

Answer:
Please note that the IS pension plan (ISPP) assets are held in a trust that is not owned by the company and the trust is separate from any claims by creditors of the company.

The trust has a third party acting as an independent trustee, the trustee’s responsibilities include the oversight of the plan including the investment of the plans assets and that those assets will be sufficient to pay the pension benefits and to communicate with the company if there is a need for additional cash contributions to the plan.

Annually an independent professional actuary prepares a report of the projected liability of the plan, the details of the liability and the plan assets are reported in Schlumberger Limited’s annual financial report.

It is the intent of the company to maintain sufficient funding and assets in the plan to meet all the plan obligations

The only thing I do know about pension plans for SLB was when I was released in 2018, about 1 year later they gave me the following choices:

1. Lump Sum pay out - Penalty and Taxes have to be paid
2. Partial pay out and roll remaining balance over to an existing 401K
3. Lump Sum Pay out and rollover to an existing 401K
4. Do nothing and start receiving payments at 65 years of age

Depending on your situation and how old you are will dictate which option,. I am 48 years old so I choose #3 simply because I thought it was pointless to have my pension funds frozen for 17 years and not make any money. Since the pay out, I have made more gains even with the COVID-19 in my retirement fund, which is not 401K, but another type of mutual fund. Now, opinion, I don't trust Schlumberger. There is nothing that says they have to give you your pension. That can disappear at any time. That is a benefit. When GM went under and they needed abail out, guess what got hit first, yep, pensions. My wife is from Michigan and some of her friends dad's that worked at GM for 40 years, yeah their pension is gone. Sad but true. I had a chance to disconnect from SLB completely completely and I did. People are putting a lot of stock into Pensions and do not relaize they can disappear at any point in time simply because they cannot afford. Don't forget, they are paying a sh–load of pensions right now and have been for years. THe people not yet eligible are the ones to me that are most vulnerable. But to each his own.

The Fund trustees were probably smart enough to not invest it back into oil.

If you got cut in this round, then you will get pension plan statement sooner or later.
If you are still with company, work harder... don't need to think about it.
If you are invested, still with company and worry, then quit the job and start to withdraw your pension fund before it collapses.