Shell is set to close its UK final salary pension scheme to new workers from next year, the Financial Times reported on Friday.
The moves brings down the curtain on the last such retirement scheme offered by a FTSE 100 company, with Shell's proposed alternative leaving retirement income at the mercy of stock market movements and interest rates at the time of retirement and changes in life expectancy.
The FT cites a statement published on Shell's pension website for scheme members, where it promises to replace the final salary plan with a UK defined contribution pension plan for new hires to Shell to reflect market trends in the UK.
Shell said the replacement plan would ensure remuneration for new hires remains strongly competitive, according to the piece published on the FT's website.
Shell could not be reached for immediate comment.
(Reporting by Stephen Mangan; editing by Carol Bishopric)