Financial and Retirement


Union Pacific understands that planning for the financial future is a lifelong process. It’s never too soon to start preparing and saving for retirement. Because of this, Union Pacific helps employees achieve their retirement goals by sponsoring a pension and 401(k)/thrift plan.

Pension Plan for Salaried Employees of Union Pacific Corporation and Affiliates

The Pension Plan is available to nonagreement employees and is designed to provide monthly income for life, beginning at retirement. The Pension Plan is funded entirely by Union Pacific. Contributions are deposited into a trust fund where they are held solely for the benefit of the plan participants and their beneficiaries. Upon an employee’s retirement, the amount of their benefit is determined by a formula. Generally, plan participants must have at least five years of vesting service to be entitled to a benefit under the Plan.

Union Pacific Corporation Thrift Plan (401(k)/Thrift Plan)

Nonagreement employees are eligible to participate in the 401(k)/Thrift Plan immediately upon employment. Plan participants may elect to save, via payroll deduction, from two percent up to 75 percent of their eligible pay on a pre-tax, Roth or after-tax basis each pay period. To encourage employees to save for their retirement, the 401(k)/Thrift Plan has an automatic enrollment feature. Unless elected otherwise, new hire and re-hire nonagreement employees, are automatically enrolled, after 60 days at a six percent pre-tax contribution level, Plan participants may change their saving and investment elections at any time.

Employees transferring from an agreement to a nonagreement position will not be automatically enrolled and must enroll by contacting Vanguard or enrolling through

To help participants save for retirement, Union Pacific makes matching contributions to the 401(k)/Thrift Plan. The company-matching contribution is equal to $.50 for each dollar saved up to the first six percent of eligible pay contributed each pay period.

All contributions, both employee contributions and company matching contributions, are 100 percent vested immediately.