Rolls-Royce has offered to pump £500m into its pension funds and increase the company’s contributions if employees accept closure of the final salary schemes to new members.  The engine manufacturer also wants to change the investment strategy in the company’s three schemes which had a deficit of £1.3bn at the end of last year.  The three pension schemes have 119,054 members.  Britain’s companies have been introducing measures to cut their pension deficits which have ballooned due to longer life expectancy and worse than expected returns in recent years. Many companies now only offer defined contribution schemes to new employees which do not require the company to specify how much will be paid out to pensioners.  In 2003 Rolls-Royce agreed to pump £567m into the Rolls-Royce Pension Fund. 
Telegraph | Money | Rolls Royce to pay ?500m into pension fund