XML 72 R42.htm IDEA: XBRL DOCUMENT v3.22.2.2
Pension and Other Postretirement Benefit Plans (Tables)
12 Months Ended
Sep. 30, 2022
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]  
Schedule of Change In Plans' Combined Net Benefit Obligations
The following table sets forth the changes in the plans’ combined net benefit obligation (segregated between plans existing within and outside the U.S.) for the years ended September 30, 2022 and October 1, 2021 (in thousands):
 U.S. PlansNon-U.S. Plans
 September 30, 2022October 1, 2021September 30, 2022October 1, 2021
Net benefit obligation at the beginning of the year$404,820 $437,920 $2,375,640 $2,388,077 
Service cost236 456 6,480 6,568 
Interest cost10,350 10,221 42,328 38,907 
Participants’ contributions— — 249 212 
Actuarial gains (1)(85,067)(11,808)(651,798)(140,670)
Benefits paid(25,565)(25,582)(74,378)(74,477)
Curtailments/settlements/plan amendments(5,271)(6,387)(2,641)(13,932)
Acquisition of PA Consulting Plans, net of post-deal transfers (2)— — — 66,065 
Effect of exchange rate changes and other, net— — (330,414)104,890 
Net benefit obligation at the end of the year$299,503 $404,820 $1,365,466 $2,375,640 
(1)Actuarial gains primarily driven by change in discount rates.
(2)See note below change in assets table.
Schedule of Change in Combined Fair Value of the Plans' Assets
The following table sets forth the changes in the combined Fair Value of the plans’ assets (segregated between plans existing within and outside the U.S.) for the years ended September 30, 2022 and October 1, 2021 (in thousands):
 U.S. PlansNon-U.S. Plans
 September 30, 2022October 1, 2021September 30, 2022October 1, 2021
Fair value of plan assets at the beginning of the year$385,521 $382,250 $2,203,495 $2,043,356 
Actual (loss) return on plan assets(68,585)35,152 (557,972)60,040 
Employer contributions93 88 33,032 39,085 
Participants’ contributions— — 249 212 
Gross benefits paid(25,565)(25,582)(74,378)(74,477)
Curtailments/settlements/plan amendments(5,271)(6,387)(2,641)(13,932)
Acquisition of PA Consulting Plans, net of post-deal transfers— — — 60,160 
Effect of exchange rate changes and other, net— — (304,160)89,051 
Fair value of plan assets at the end of the year$286,193 $385,521 $1,297,625 $2,203,495 
Reconciliation of Combined Funded Status of Plans and Recognized in Consolidated Balance Sheet
The following table reconciles the combined funded statuses of the plans recognized in the accompanying Consolidated Balance Sheets at September 30, 2022 and October 1, 2021 (segregated between plans existing within and outside the U.S.) (in thousands):
 U.S. PlansNon-U.S. Plans
 September 30, 2022October 1, 2021September 30, 2022October 1, 2021
Net benefit obligation at the end of the year$299,503 $404,820 $1,365,466 $2,375,640 
Fair value of plan assets at the end of the year286,193 385,521 1,297,625 2,203,495 
Underfunded amount recognized at the end of the year$13,310 $19,299 $67,841 $172,145 
Schedule of Accumulated and Projected Benefit Obligations
The following table presents the accumulated benefit obligation at September 30, 2022 and October 1, 2021 (segregated between plans existing within and outside the U.S.) (in thousands):
 U.S. PlansNon-U.S. Plans
 September 30, 2022October 1, 2021September 30, 2022October 1, 2021
Accumulated benefit obligation at the end of the year$299,347 $404,283 $1,355,717 $2,305,808 
Schedule of Amount Recognized in Accompanying Balance Sheets
The following table presents the amounts recognized in the accompanying Consolidated Balance Sheets at September 30, 2022 and October 1, 2021 (segregated between plans existing within and outside the U.S.) (in thousands): 
 U.S. PlansNon-U.S. Plans
 September 30, 2022October 1, 2021September 30, 2022October 1, 2021
Prepaid benefit cost included in noncurrent assets$— $— $54,897 $48,340 
Accrued benefit cost included in current liabilities83 84 4,359 3,873 
Accrued benefit cost included in noncurrent liabilities13,227 19,215 118,379 216,612 
Net amount recognized at the end of the year$13,310 $19,299 $67,841 $172,145 
Schedule of Pension Plans Recorded In Accumulated Other Comprehensive Loss Not Yet Recognized As Component of Net Periodic Pension Cost
The following table presents certain amounts relating to our plans recorded in accumulated other comprehensive loss that have not yet been recognized as components of net periodic benefit cost at September 30, 2022 and October 1, 2021 (segregated between U.S. and non-U.S. plans) (in thousands):
 U.S. PlansNon-U.S. Plans
 September 30, 2022October 1, 2021September 30, 2022October 1, 2021
Net actuarial loss$37,638 $39,217 $248,716 $328,397 
Prior service cost697 1,021 20,344 25,926 
Total$38,335 $40,238 $269,060 $354,323 
Schedule of Accumulated Comprehensive Income Amortized Against Earnings In Next Year
The following table presents the amount of accumulated comprehensive income that will be amortized against earnings as part of our net periodic benefit cost in fiscal 2023 based on 2022 exchange rates (segregated between U.S. and non-U.S. plans) (in thousands):
 U.S. PlansNon-U.S. Plans
Unrecognized net actuarial (gain) or loss$(1,770)$5,310 
Unrecognized prior service cost431 1,246 
Accumulated comprehensive (gain) or loss to be recorded against earnings$(1,339)$6,556 
Schedule of Weighted Average Measurement Of Assets And Liabilities The plans’ weighted average asset allocations at September 30, 2022 and October 1, 2021 (the measurement dates used in valuing the plans’ assets and liabilities) were as follows: 
 U.S. PlansNon-U.S. Plans
 September 30, 2022October 1, 2021September 30, 2022October 1, 2021
Equity securities%%15 %15 %
Debt securities66 %58 %49 %54 %
Real estate investments— %— %11 %%
Other32 %39 %25 %22 %
Anticipated Cash Contributions
The following table presents the amount of cash contributions we anticipate making into the plans during fiscal 2023 (in thousands):
 U.S. PlansNon-U.S. Plans
Anticipated cash contributions$— $26,651 
Schedule of Expected Payments to Participants in Pension Plan
The following table presents the total benefit payments expected to be paid to plan participants during each of the next five fiscal years, and in total for the five years thereafter (in thousands):
 U.S. PlansNon-U.S. Pans
2023$30,869 $62,922 
202428,884 67,058 
202528,088 68,129 
202627,377 72,069 
202726,139 78,254 
For the periods 2028 through 2032115,872 351,748 
Schedule of Contribution to Multiemployer Pension Plans
The following table presents the Company’s contributions to these multiemployer plans for the years ended September 30, 2022, October 1, 2021 and October 2, 2020 (in thousands):
 September 30, 2022October 1, 2021October 2, 2020
Europe$1,548 $1,713 $1,922 
United States11,038 11,316 6,637 
Contributions to multiemployer pension plans$12,586 $13,029 $8,559 
U.S. Plans  
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]  
Schedule of Significant Actuarial Assumptions In Determining Funded Status Plans
The following table presents the significant actuarial assumptions used in determining the funded statuses and the following year's benefit cost of the Company’s U.S. plans for the years ended September 30, 2022, October 1, 2021 and October 2, 2020:
 For the Years Ended
 September 30, 2022October 1, 2021October 2, 2020
Discount rates
4.2% to 5.5%
2.3% to 2.8%
2.0% to 2.7%
Rates of compensation increases3.5%3.5%3.5%
Expected long-term rates of return on assets
5.5% to 6.4%
4.7% to 5.1%
  4.6% to 4.7%
Schedule of Pension Plans Recognized In Accumulated Other Comprehensive Loss
The following table presents certain amounts relating to our U.S. plans recognized in accumulated other comprehensive (gain) loss at September 30, 2022, October 1, 2021 and October 2, 2020 (in thousands):
 September 30, 2022October 1, 2021October 2, 2020
Arising during the period:   
Net actuarial loss (gain)$578 $(25,109)$(900)
Prior service cost— — 1,589
Total 578 (25,109)689
Reclassification adjustments:   
Net actuarial losses(2,157)(3,204)(2,653)
Prior service (benefit)(324)(325)(244)
Total (2,481)(3,529)(2,897)
Total$(1,903)$(28,638)$(2,208)
Schedule of Fair Value of Pension Plan Assets
The following table presents the Fair Value of the Company’s Domestic U.S. plan assets at September 30, 2022, segregated by level of Fair Value measurement inputs within the Fair Value hierarchy promulgated by U.S. GAAP (in thousands):
 September 30, 2022
 Fair Value, Determined Using Fair Value Measurement Inputs
 Level 1Level 2Level 3Investments measured at Net Asset ValueTotal
Equities$6,708 $— $— $— $6,708 
Domestic bonds64,396 106,961 — — 171,357 
Overseas bonds— 15,200 — — 15,200 
Cash and equivalents19,025 — — — 19,025 
Mutual funds73,903 — — — 73,903 
Total$164,032 $122,161 $— $— $286,193 
The following table presents the Fair Value of the Company’s U.S. plan assets at October 1, 2021, segregated by level of Fair Value measurement inputs within the Fair Value hierarchy promulgated by U.S. GAAP (in thousands):
 October 1, 2021
 Fair Value, Determined Using Fair Value Measurement Inputs
 Level 1Level 2Level 3Investments measured at Net Asset ValueTotal
Equities$12,331 $— $— $— $12,331 
Domestic bonds74,456 132,138 — — 206,594 
Overseas bonds— 15,730 — — 15,730 
Cash and equivalents22,634 — — — 22,634 
Mutual funds128,232 — — — 128,232 
Total$237,653 $147,868 $— $— $385,521 
Schedule of Components of Net Periodic Pension Cost Recognized
The following table presents the components of net periodic benefit cost for the Company’s U.S. plans recognized in the accompanying Consolidated Statements of Earnings for the years ended September 30, 2022, October 1, 2021 and October 2, 2020 (in thousands):
 September 30, 2022October 1, 2021October 2, 2020
Service cost$236 $456 $409 
Interest cost10,350 10,221 12,673 
Expected return on plan assets(16,933)(15,932)(17,670)
Actuarial loss2,861 4,249 3,518 
Prior service cost430 431 323 
Net pension cost, before special items$(3,056)$(575)$(747)
Curtailment expense/Settlement (gain) loss(206)(64)3,436 
Total net periodic pension (income) cost recognized$(3,262)$(639)$2,689 
Non-U.S. Plans  
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items]  
Schedule of Significant Actuarial Assumptions In Determining Funded Status Plans
The following table presents the significant actuarial assumptions used in determining the funded statuses and the following year's benefit cost of the Company’s non-U.S. plans for the years ended September 30, 2022, October 1, 2021 and October 2, 2020:
For the Years Ended
 September 30, 2022October 1, 2021October 2, 2020
Discount rates
2.4% to 7.4%
 
0.6% to 6.6%
 
0.4% to 6.6%
Rates of compensation increases
2.5% to 9.0%
 
2.4% to 7.5%
 
2.7% to 7.5%
Expected long-term rates of return on assets
3.3% to 7.5%
 
2.0% to 7.0%
 
1.8% to 7.0%
Schedule of Pension Plans Recognized In Accumulated Other Comprehensive Loss
The following table presents certain amounts relating to our non-U.S. plans recognized in accumulated other comprehensive (gain) loss at September 30, 2022, October 1, 2021 and October 2, 2020 (in thousands):
 September 30, 2022October 1, 2021October 2, 2020
Arising during the period:   
Net actuarial (gain) loss$(78,705)$(65,547)$71,676 
Prior service cost— — — 
Total(78,705)(65,547)71,676 
Reclassification adjustments:   
Net actuarial losses(5,492)(8,761)(6,322)
Prior service (benefit)(1,066)(1,219)(1,169)
Total(6,558)(9,980)(7,491)
Total$(85,263)$(75,527)$64,185 
Schedule of Fair Value of Pension Plan Assets
The following table presents the Fair Value of the Company’s non-U.S. plan assets at September 30, 2022, segregated by level of Fair Value measurement inputs within the Fair Value hierarchy promulgated by U.S. GAAP (in thousands):
 September 30, 2022
 Fair Value, Determined Using Fair Value Measurement Inputs
 Level 1Level 2Level 3Investments measured at Net Asset ValueTotal
Domestic equities$— $42,655 $— $1,539 $44,194 
Overseas equities— 74,056 — 76,813 150,869 
Domestic bonds— 38,448 — — 38,448 
Overseas bonds— 532,697 — 64,897 597,594 
Cash and equivalents9,667 1,835 — — 11,502 
Real estate— 4,076 102,868 36,959 143,903 
Insurance contracts— — 80,231 80,231 
Hedge funds— — 138,603 11,568 150,171 
Mutual funds— 80,713 — — 80,713 
Total$9,667 $774,480 $321,702 $191,776 $1,297,625 
The following table presents the Fair Value of the Company’s non-U.S. plan assets at October 1, 2021, segregated by level of Fair Value measurement inputs within the Fair Value hierarchy promulgated by U.S. GAAP (in thousands):
 October 1, 2021
 Fair Value, Determined Using Fair Value Measurement Inputs
 Level 1Level 2Level 3Investments measured at Net Asset ValueTotal
Domestic equities$— $86,117 $— $2,662 $88,779 
Overseas equities— 142,243 — 101,071 243,314 
Domestic bonds— 48,119 — — 48,119 
Overseas bonds— 1,049,585 — 56,616 1,106,201 
Cash and equivalents27,579 1,322 — — 28,901 
Real estate— 17,319 116,936 53,434 187,689 
Insurance contracts— — 133,802 — 133,802 
Hedge funds— — 231,319 16,020 247,339 
Mutual funds— 119,351 — — 119,351 
Total$27,579 $1,464,056 $482,057 $229,803 $2,203,495 
Summary of Changes in the Fair Value of Plans Level 3 Assets
The following table summarizes the changes in the Fair Value of the Company’s non-U.S. Pension Plans’ Level 3 assets for the years ended September 30, 2022 and October 1, 2021 (in thousands):
 Real EstateInsurance ContractsHedge Funds
Balance at Balance at October 2, 2020$105,422 $67,709 $171,730 
Purchases, sales, and settlements6,288 2,413 51,513 
Realized and unrealized gains398 1,448 864 
Acquisition of PA Consulting Plans, net of post-deal transfers— 60,160 — 
Effect of exchange rate changes4,828 2,072 7,212 
Balance at October 1, 2021$116,936 $133,802 $231,319 
Purchases, sales, and settlements(8,686)(6,312)(11,553)
Realized and unrealized losses14,701 (24,770)(42,964)
Effect of exchange rate changes(20,083)(22,489)(38,199)
Balance at September 30, 2022$102,868 $80,231 $138,603 
Schedule of Components of Net Periodic Pension Cost Recognized
The following table presents the components of net periodic benefit cost for the Company’s Non-U.S. plans recognized in the accompanying Consolidated Statements of Earnings for the years ended September 30, 2022, October 1, 2021 and October 2, 2020 (in thousands):
 September 30, 2022October 1, 2021October 2, 2020
Service cost$6,480 $6,568 $5,710 
Interest cost42,328 38,907 39,469 
Expected return on plan assets(71,875)(90,346)(93,407)
Actuarial loss7,147 10,834 7,578 
Prior service cost1,421 1,519 1,405 
Net pension cost, before special items$(14,499)$(32,518)$(39,245)
Curtailment expense/Settlement loss329 2,847 1,341 
Total net periodic pension (income) cost recognized$(14,170)$(29,671)$(37,904)
The service cost component of net periodic pension income is presented in direct cost of contracts and selling, general and administrative expenses while all other components are presented in miscellaneous income (expense), net on the Consolidated Statements of Earnings for the years presented above.