in UK, pension plan maintained by employer in the United Kingdom, a pension plan, run by an organization for its employees, which has satisfied the conditions allowing the employer to contract out of the state earnings related pension scheme. Company pensions are regarded as deferred pay and form part of the total compensation package. Until recently, most plans were based on final salary but there has been a shift toward money purchase pensions, particularly amongst smaller companies. Alternatively, employers may choose to contribute to an employee's personal pension.
Related definitions of "company pension"
- Also called occupational pension