The “variable benefit” plan currently being discussed at FDX would replace their current defined benefit, and while it is considered a DB plan has funding elements not unlike a DC for a corporation.

There’s also a “flat dollar benefit” DB plan, which is what UPS has, which also has funding elements lowering a corporation’s burden.

Pro/Con to both.

Worth noting in addition to FedEx’s 2% FAE defined benefit (130k cap) and the UPS FDA defined benefit (120k cap), both companies also have a DC plan (8% soon 9% and 12%, respectively).

Lots o’ ways to skin the retirement cat.

Back to my dirty freight dog sandbox...