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U.S. HP Pension Transition 2021 Advice and reference info from members. (Updated Sep 1, 2025) Click to join the HPAA Question? Email us: info@hpalumni.org Join the HPAA Finance Forum. Deals with employee stock, 401(k), pensions, and other financial issues from an ex-HP/HPE perspective. The independent HP/HPE Alumni Association is operated by volunteers. This note is based on documents provided to HP, DEC, and EDS retirees and on HPAA forum discussions. Not officially endorsed or supported. Received a "Potential Private Retirement Benefit" letter from U.S. Social Security? How to decode the letter and who to contact, if necessary: "Potential Benefit" letter HP Inc is the overall legal successor to Hewlett-Packard and to companies acquired by Hewlett-Packard before Nov 1, 2015 – such as Compaq, DEC, EDS, Tandem, etc. -- regardless of whether a business unit ended up in HP Inc or HPE. For employees of HP -- and predecessor companies -- who left before the HPInc/HPE separation, responsibility for any health or retirement benefits varies from country to country. For the US, HP Inc has responsibility. For Canada and UK, HPE has responsibility. In many countries, plans were split between HP Inc and HPE. See: Where are my benefits? HP Inc, Hewlett Packard Enterprise, DXC, and Perspecta are completely separate companies. EDS: If you were employed by EDS or "EDS, an HP Company" before Jan 1, 2009 -- you may have an EDS pension, which has been merged with an HPInc pension plan: https://www.hpalumni.org/edsPension HP Inc to Prudential to Empower. In 2020, HP Inc irrevocably
transferred pension administration and $5.2 billion in payment
obligations for 41,000 U.S. HP, DEC, and EDS retirees to Prudential
Insurance Company HP Inc pension contacts -- start here: - US: (Fidelity) 1-800-457-4015 (If no password, keep hitting #.) (Outside US 1-508-787-9902 collect.) Fidelity (Don't go to a local Fidelity office, which is focused on sales.) - UK: Pension -- HP, DEC, EDS. HP Limited Retirement Benefits Plan, administered by Equiniti. https://hprbp.com - HP Inc worldwide former-employee contacts: https://content.ext.hp.com/sites/... HP Inc worldwide office directory: https://www.hp.com/us-en/contact-hp/ww-office-locs.html HP Inc headquarters: 10300 Energy Drive, Spring, TX 77389. (At a US Post Office window, you can specify Certified Mail combined with Return Receipt.) Action: Three possible courses of action -- depending on your situation:
A.
If you have a U.S. HP, DEC, or EDS pension plan, have
been receiving monthly payments that
commenced on or before November 1, 2020
-- and did *not* receive a mailing from Prudential in
2021, log into your Fidelity account to
determine if the pension change applied to you. Also check that Fidelity has your current postal address and, if
applicable, current beneficiary information. B. If you have received a mailing from Prudential, set up a Prudential account and fill in the enclosed form (or update the information online) with your current personal and emergency contact information. The mailing includes a Benefit Statement, "How is my annuity payment protected," and instructions on changing your beneficiary. HPAA copy: https://www.hpalumni.org/pension2021-statement.pdf
C. Everyone else: Log into your
Fidelity account to check that Fidelity has your current
contact information, terms of your plan, and current
beneficiary information.
https://netbenefits.fidelity.com What you need to know about pensions. The non-profit Pension Rights Center discusses the records you should keep about your pension -- and the underlying insurance coverage differences between a pension and an annuity: https://www.pensionrights.org/resources/commonly-asked-questions/ Glitches. We've heard of some corner-case issues in the conversion: - If you have ever had an account at Prudential -- such as a life insurance account or an account that has been closed -- annuity payments work correctly, but you may need to contact Prudential support to fully set up your pension account under a different login. - Some retirees living outside the U.S. were erroneously transferred to Prudential. HPAA's directory of financial benefits contacts for former HP employees: https://www.hpalumni.org/contacts-HPI-financial HP notification in September 2021: "...we are transferring the administration and payment obligation of your pension benefit to Prudential through the purchase of a group annuity contract... The group annuity contract covers most eligible retirees, their surviving beneficiaries, and alternate payees receiving monthly pension payments from the Pension Plan that commenced on or before November 1, 2020.
"The amount and terms of your benefits will remain the same
as your current benefits. This change will happen
automatically effective November 1, 2021... Payments made to your bank
via direct deposit will continue without interruption. You
will receive a Welcome Kit from Prudential in mid/late
October..." If your pension was among those that were transferred to an Prudential annuity, Fidelity and Prudential indicated that you received two end-of-year statements for 2021: one from Fidelity, for the portion of the year they administered your pension, and from Prudential for the rest of the year. Must be mailed by Jan 31, 2022; were available online Jan 17. HP has made no statement as to if, or when, a similar change might apply to other participants. Background: - EDS folks who retired from GM report that their GM company pension plans were transferred to Prudential annuities many years ago -- and that the original terms are being lived up to by Prudential, now Empower. - The HP, DEC, and EDS pension plans have very different terms. Members report that HP is living up to the specific terms of each plan. - The key document for a US employee retirement or health plan is the legal Summary Plan Description (SPD). It includes plan details and an address at the employer for appeals. The current SPD takes precedence over any other written, online, or verbal information you may have been given -- but is still subject to change. The employer's plan administrator is required by law to provide the SPD upon request. How to obtain and decode: https://www.hpalumni.org/SPD-decode - Acquired companies. EDS and DEC pensions are legal obligations of HP Inc. -- regardless of whether their last business unit ended up in HP or HPE. DEC pensions have been paid since 1998 by Compaq and now by HP Inc. (Other acquired companies did not have pension plans and had not built up pension trust funds to pass to an acquiring company.) Financial details:
HP SEC filing: "HP entered into
an agreement with The Prudential Insurance Company of
America to purchase an irrevocable group annuity contract
and transfer approximately $5.2 billion of the HP Inc. U.S.
Pension Plan obligations... Prudential will assume
responsibility for pension benefits and annuity
administration for approximately 41,000 retirees and
beneficiaries. This transaction will not change the amount
or timing of monthly retirement benefit payments."
HP July 31, 2021 10Q filing
Nov. 23, 2021 Wall Street
Journal: "HP Inc. reported strong earnings and gave an
upbeat outlook... including a one-time $1.78 billion legal
settlement." "...litigation judgment in connection with Oracle's discontinuation of software support for HP's Itanium-based line of mission-critical servers... shared equally between HP and HPE..." "...transfer of certain pension obligations as part of an irrevocable group annuity contract with The Prudential Insurance Company of America." https://investor.hp.com/financials/sec-filings/sec-filings-details/default.aspx?FilingId=15376597
Specifically, "Our pension and other post-retirement benefit costs and obligations depend on various assumptions. Our major assumptions relate primarily to discount rates, mortality rates, expected increases in compensation levels and the expected long-term return on plan assets....In August 2021, HP entered into an agreement with The Prudential Insurance Company of America to purchase an irrevocable group annuity contract and transfer approximately $5.2 billion of the Pension Plan obligations. Under the agreement, Prudential assumed responsibility for pension benefits and annuity administration for approximately 41,000 retirees and beneficiaries, with no changes to the amount or timing of monthly retirement benefit payments. This transaction... was funded by the assets of the Pension Plan... with no cash flow impact." 2021 HP Inc Annual Report
"By purchasing a group annuity
contract, we are moving the responsibility of providing your
pension benefit to a company that manages the financial
risks associated with annuity payments on a larger scale and
as part of their core business. The annuity purchase also
helps HP reduce our long-term pension obligations and
related financial
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