Defined Benefit (DB) pension plans provide retirement security for many people, including employees and family members of some of the largest organizations in the U.S. and Canada. However, managing DB pension plans is a complex challenge that carries risks for plan sponsors.
Alight has the in-house experience and technology to help mitigate these risks and provide fast, accurate information and expert support for participants of DB pension plans.
As the largest pension administration provider by participants and members served, supporting the U.S. and Canadian markets, here’s how Alight works to reduce risk for plan sponsors:
Investment in technology solutions for pension administration
Technology plays a crucial role in reducing risk for DB pension plan sponsors. By employing robotic process automation (RPA) and AI, the right technology reduces the risk of human error. For instance, at Alight, software is utilized to perform reconciliation and pension calculations, rather than relying on manual computations by individuals. Critical information like bank routing numbers is updated automatically, eliminating manual processes that can lead to errors when people input routing numbers by hand.
Expertise managing defined benefit pension data — and its complexity
Alight can handle very complex plans with diverse populations, including union groups and multiple pension plans with different legacy histories. Alight’s platform includes dashboards providing real-time views of employee data, which helps reduce risk by ensuring accurate and timely information.
Alight’s Data Conversion team partners with plan sponsors to clean up and integrate data, including tasks like imaging paper files and setting up new processes. This effort brings the plan sponsor’s data management practices up to modern standards.
50+ years of expertise with defined benefits and pensions
Alight provides expert guidance and support to DB plan sponsors, helping them navigate the complexities of defined benefit plans and significantly reducing risk. Many plan sponsors who historically managed their own defined benefit plans are facing a critical loss of internal expertise as their employees working with their pension plan are retiring. Alight has experienced professionals who have the skills and knowledge to handle the work. This includes assistance with regulatory compliance, data management, and strategic plan support.
Simple, intuitive access for pension plan participants
Offering a modern, secure, and user-friendly way for plan participants and members to view and manage their pensions is essential for employers who want their defined benefit plans to run smoothly. Participants have access to resources and tools that emphasize the importance of education and communication for people in pension plans, helping them understand their benefits and make informed decisions.
The robust pension engine can handle the most complex scenarios, ensuring participants and members can self-serve in most cases, and access accurate information 24/7. By providing automated, accurate, and timely information, Alight’s services help reduce risks for pension plan sponsors and enhance decision-making and compliance. Alight’s automated platform provides the accurate and modern experience users expect in today’s technology-centric world.
Defined Benefits
Give your people the confidence to retire
Make pension planning simple for everyone.
Alight’s approach to defined benefits administration helps plan sponsors navigate the complexities of plan management and ensure the sustainability of their plans. Talk to our experts to learn more.
