HR Glossary

What is Pension Plan?

An employer-funded retirement plan that provides employees with a guaranteed monthly income in retirement, calculated based on salary history, years of service, and a benefit formula set by the plan.

Why it matters in hiring

Pension Plan comes up whenever teams compare candidates, set policy or report on people data. Getting the definition right keeps decisions consistent, which is the same reason springhire scores every applicant against the same criteria rather than on impression.

Related terms starting with P

• Payroll Tax (Australia)
• PDPA - Personal Data Protection Act (Singapore)
• Peer Learning
• Peer Review
• Performance Appraisal
• Performance-Based Pay
• Performance Bonus
• Performance Conversation

Part of the springhire HR glossary, 1,150+ HR, payroll and recruiting terms defined. Free, no signup.