More Evidence – Borrowing to Fund Pension Obligations a Bad Idea

The recent collapse of a British company whose roots date back 115 years underscores the risk of borrowing to cover dividend payments and pension funding obligations.  Carillion (43,000 employees and 28,000 pensioners) recently collapsed under the weight of poor pricing schemes, (apparently legal) mismanagement and a defined benefit burden that was not sustainable.

Hopefully politicians in Chicago will take heed, but they probably will not.

For an article on this topic Click Here.

Torrey & Gray is a recruiting and staffing firm in the Chicago area that finds Controllers and other professionals who can help your organization avoid this type of disaster.