DISCUSSION 2   When businesses are failing, pension costs (payments to retirees as well as required payments into the retirement plan) are usually a factor in the struggles

DISCUSSION 2

When businesses are failing, pension costs (payments to retirees as well as required payments into the retirement plan) are usually a factor in the struggles. Potential buyers are turned off by a large pension responsibility and frequently, upon takeover, will either drastically reduce monthly benefits to retirees or cease payments completely-leaving senior citizens in financial distress.

What is the ethical duty of the outgoing business owner to its retired employees? What is the ethical duty of the new owner of the business to the retirees? Remember: it is a business, not a charitable organization. Make your posts reasoned, not emotional. Think of yourself in each role-as the owner of the failing business and also as the incoming owner!