Heidelberger Druckmaschinen’s Company Pension Scheme Restructuring

DLA Piper has advised Heidelberger Druckmaschinen AG on the restructuring of the company pension scheme, covering all employees in Germany.

A collective bargaining agreement brings together the previous pension arrangements of the German Heidelberg Group. In addition, a uniform dynamization of company pensions was agreed upon, which is based on the expected lower inflation. This makes the development of pensions more predictable for employees, pensioners and the company and at the same time reduces administrative costs.

The new regulation leads to a reduction in the expected future pension increases and, with a positive effect of around €65 million on the operating result (EBITDA), strengthens the company’s equity in the current first quarter of the financial year.

This was agreed by the Management Board and employee representatives of the company together with the IG Metall trade union.

With this step, the company is also reacting to the historically low interest rates in the euro area, which will lead to further increases in provisions for pension obligations in the future. Damping future pension increases therefore has a positive effect on rising pension obligations.

Heidelberger Druckmaschinen AG designs, manufactures, and markets commercial printing presses, dryer and ink systems, peripherals, and paper and document handling machinery used to bind, fold, and insert materials.

DLA Piper advised Heidelberger Druckmaschinen with a team including partners Dr Henriette Norda (Employment, Hamburg; Picture) and Dr Marco Arteaga (Pensions, Frankfurt), Counsel Dr Annekatrin Veit and Senior Associate Georg Haberkorn (both Munich, pensions).

Involved fees earner: Marco Arteaga – DLA Piper; Georg Haberkorn – DLA Piper; Henriette Norda – DLA Piper; Annekatrin Veit – DLA Piper;

Law Firms: DLA Piper;

Clients: Heidelberger Druckmaschinen;