Rendering

Component: (Network and Table)
Network
2334301 - Disclosure - Retirement Benefits (Tables)
(http://www.willistowerswatson.com/role/RetirementBenefitsTables)
Table(Implied)
Slicers (applies to each fact value in each table cell)
Compensation and Retirement Disclosure [Abstract]Period [Axis]
2016-01-01 - 2016-12-31
Compensation and Retirement Disclosure [Abstract]
 
Schedule of Changes in Projected Benefit Obligations
The following schedules provide information concerning the defined benefit pension plans and PRW plan as of and for the years ended December 31 2016 and 2015:
 
2016
 
2015
 
U.S.
 
U.K.
 
Other
 
PRW
 
U.S.
 
U.K.
 
Other
 
PRW
Change in Benefit Obligation
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Benefit obligation, beginning of year
$
976

 
$
2,881

 
$
184

 
$

 
$
1,066

 
$
3,093

 
$
186

 
$

Service cost
59

 
24

 
19

 
1

 

 
33

 
3

 

Interest cost
137

 
114

 
18

 
3

 
41

 
107

 
3

 

Employee contributions

 
1

 

 
7

 

 
1

 

 

Actuarial losses/(gains)
151

 
852

 
61

 
4

 
(92
)
 
(97
)
 
(5
)
 

Curtailment loss

 

 

 

 

 
13

 

 

Settlements


(12
)
 
(61
)
 

 

 

 
(1
)
 

Benefits paid
(166
)
 
(130
)
 
(24
)
 
(14
)
 
(39
)
 
(102
)
 
(7
)
 

Business combinations
3,012

 
842

 
530

 
112

 

 
224

 
24

 

Transfers in

 

 
1

 

 

 

 

 

Foreign currency changes

 
(673
)
 
4

 

 

 
(176
)
 
(19
)
 

Plan amendments

 

 

 

 

 
(215
)
 

 

Benefit obligation, end of year
$
4,169

 
$
3,899

 
$
732

 
$
113

 
$
976

 
$
2,881

 
$
184

 
$

Change in Plan Assets
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Fair value of plan assets, beginning of year
$
749

 
$
3,478

 
$
158

 
$

 
$
806

 
$
3,398

 
$
171

 
$

Actual return on plan assets
153

 
782

 
26

 

 
(19
)
 
73

 
4

 

Employer contributions
91

 
106

 
39

 
7

 
1

 
107

 
10

 

Employee contributions

 
1

 

 
7

 

 
1

 

 

Settlements

 
(12
)
 
(58
)
 

 

 

 

 

Benefits paid
(166
)
 
(130
)
 
(24
)
 
(14
)
 
(39
)
 
(102
)
 
(7
)
 

Business combinations
2,453

 
906

 
321

 
4

 

 
202

 

 

Transfers in

 

 
1

 

 

 

 

 

Foreign currency adjustment

 
(771
)
 
4

 

 

 
(201
)
 
(20
)
 

Fair value of plan assets, end of year
$
3,280

 
$
4,360

 
$
467

 
$
4

 
$
749

 
$
3,478

 
$
158

 
$

Funded status at end of year
$
(889
)
 
$
461

 
$
(265
)
 
$
(109
)
 
$
(227
)
 
$
597

 
$
(26
)
 
$

Accumulated Benefit Obligation
$
4,169

 
$
3,899

 
$
696

 
$
113

 
$
975

 
$
2,881

 
$
173

 
$

Components on the Consolidated Balance Sheet
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
     Pension benefits assets
$

 
$
478

 
$
10

 
$

 
$

 
$
617

 
$
6

 
$

     Current liability for pension benefits
$
(47
)
 
$

 
$
(7
)
 
$
(3
)
 
$

 
$

 
$

 
$

     Non-current liability for pension benefits
$
(842
)
 
$
(17
)
 
$
(268
)
 
$
(106
)
 
$
(227
)
 
$
(20
)
 
$
(32
)
 
$

 
$
(889
)
 
$
461

 
$
(265
)
 
$
(109
)
 
$
(227
)
 
$
597

 
$
(26
)
 
$

 
 
Schedule of Amounts Recognized in Other Comprehensive Income (Loss)
Amounts recognized in accumulated other comprehensive loss as of December 31, 2016 and 2015 consist of:
 
2016
 
2015
 
U.S.
 
U.K.
 
Other
 
PRW
 
U.S.
 
U.K.
 
Other
 
PRW
Net actuarial loss
$
603

 
$
918

 
$
80

 
$
4

 
$
378

 
$
790

 
$
25

 
$

Net prior service gain

 
(147
)
 

 

 

 
(196
)
 

 

Accumulated other comprehensive loss
$
603

 
$
771

 
$
80

 
$
4

 
$
378

 
$
594

 
$
25

 
$

 
 
Schedule of Benefit Obligations in Excess of Fair Value of Plan Assets
The following table presents the projected benefit obligation and fair value of plan assets for our plans that have a projected benefit obligation in excess of plan assets as of December 31, 2016 and 2015:
 
2016
 
2015
 
U.S.
 
U.K.
 
Other
 
U.S.
 
U.K.
 
Other
Projected benefit obligation at end of year
$
4,169

 
$
843

 
$
686

 
$
976

 
$
204

 
$
52

Fair value of plan assets at end of year
$
3,280

 
$
825

 
$
411

 
$
749

 
$
184

 
$
19

 
 
Schedule of Accumulated Benefit Obligations in Excess of Fair Value of Plan Assets
The following table presents the projected benefit obligation, accumulated benefit obligation and fair value of plan assets for our plans that have an accumulated benefit obligation in excess of plan assets as of December 31, 2016 and 2015.
 
2016
 
2015
 
U.S.
 
U.K.
 
Other
 
U.S.
 
U.K.
 
Other
Projected benefit obligation at end of year
$
4,169

 
$
843

 
$
686

 
$
976

 
$
204

 
$
33

Accumulated benefit obligation at end of year
$
4,169

 
$
843

 
$
650

 
$
975

 
$
204

 
$
26

Fair value of plan assets at end of year
$
3,280

 
$
825

 
$
411

 
$
749

 
$
184

 
$
4

 
 
Schedule of Net Periodic Benefit Cost
The components of the net periodic benefit income and other amounts recognized in other comprehensive (income)/loss for the years ended December 31, 2016, 2015 and 2014 for the defined benefit plans and PRW plan are as follows:
 
2016
 
2015
 
2014
 
U.S.
U.K.
Other
PRW
 
U.S.
U.K.
Other
PRW
 
U.S.
U.K.
Other
PRW
Components of net periodic benefit (income)/cost:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Service cost
$
59

$
24

$
19

$
1

 
$

$
33

$
3

$

 
$

$
41

$
3

$

Interest cost
137

114

18

3

 
41

107

3


 
41

121

6


Expected return on plan assets
(240
)
(253
)
(27
)

 
(57
)
(230
)
(3
)

 
(54
)
(213
)
(6
)

Amortization of unrecognized prior service credit

(19
)


 

(18
)


 

(4
)


Amortization of unrecognized actuarial loss
12

42



 
11

36

1


 
6

42



Settlement


5


 




 




Curtailment gain




 

(5
)


 




Net periodic benefit (income)/cost
$
(32
)
$
(92
)
$
15

$
4

 
$
(5
)
$
(77
)
$
4

$

 
$
(7
)
$
(13
)
$
3

$

Other changes in plan assets and benefit obligations recognized in other comprehensive loss/(income):
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Net actuarial loss/(gain)
$
238

$
323

$
62

$
4

 
$
(16
)
$
59

$
(5
)
$

 
$
174

$
83

$
17

$

Amortization of unrecognized actuarial loss
(12
)
(42
)


 
(11
)
(36
)
(1
)

 
(6
)
(42
)


Prior service gain




 

(215
)


 




Amortization of unrecognized prior service credit

19



 

18



 

4



Settlement


(8
)

 




 




Curtailment loss/(gain)




 

18



 

(2
)


Total recognized in other comprehensive loss/(income)
226

300

54

4

 
(27
)
(156
)
(6
)

 
168

43

17


Total recognized in net periodic benefit (income)/cost and other comprehensive loss/(income)
$
194

$
208

$
69

$
8

 
$
(32
)
$
(233
)
$
(2
)
$

 
$
161

$
30

$
20

$

 
 
Schedule of Amounts in Accumulated Other Comprehensive Income (Loss) to be Recognized over Next Fiscal Year
The estimated net actuarial loss and prior service cost for the defined benefit plans that will be amortized from accumulated other comprehensive loss into net periodic benefit cost over the next fiscal year are:
 
For the Year Ended December 31, 2017
 
U.S.
 
U.K
 
Other
 
PRW
Estimated net actuarial loss
$
13

 
$
51

 
$
2

 
$

Prior service gain
$

 
$
(17
)
 
$

 
$

 
 
Schedule of Assumptions Used
The assumptions used to determine net periodic benefit cost for the fiscal years ended December 31, 2016, 2015 and 2014 were as follows:
 
Years ended December 31,
 
2016
 
2015
 
2014
 
U.S.
U.K.
Other
PRW
 
U.S.
U.K.
Other
PRW
 
U.S.
U.K.
Other
PRW
Discount rate i
N/A

N/A

N/A

N/A

 
3.9
%
3.6
%
2.3
%
%
 
4.8
%
4.4
%
3.7
%
%
Discount rate - PBO
4.2
%
3.8
%
3.2
%
4.2
%
 
N/A

N/A

N/A

%
 
N/A

N/A

N/A

%
Discount rate - service cost
3.9
%
3.8
%
3.4
%
4.1
%
 
N/A

N/A

N/A

%
 
N/A

N/A

N/A

%
Discount rate - interest cost on service cost
3.2
%
3.8
%
3.1
%
3.5
%
 
N/A

N/A

N/A

%
 
N/A

N/A

N/A

%
Discount rate - interest cost on PBO
3.4
%
3.4
%
2.8
%
3.3
%
 
N/A

N/A

N/A

%
 
N/A

N/A

N/A

%
Expected long-term rate of return on assets ii
7.6
%
6.2
%
6.1
%
2.0
%
 
7.3
%
6.5
%
3.3
%
%
 
7.3
%
7.0
%
3.7
%
%
Rate of increase in compensation levels
4.3
%
3.2
%
2.3
%
N/A

 
N/A

2.9
%
2.2
%
%
 
N/A

3.2
%
2.1
%
%
Healthcare cost trend
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Initial rate






7.0
%
 






N/A

 






N/A

Ultimate rate






5.0
%
 






N/A

 






N/A

Year reaching ultimate rate






2022

 






N/A

 






N/A

____________________
(i)
This discount rate represents the assumption to determine net periodic benefit cost prior to the Company’s use of the granular approach to calculating service and interest cost which began for the 2016 fiscal year.
(ii)
As part of the salary freeze negotiations with the Scheme Trustee, Legacy Willis agreed to the U.K. plan Trustee’s de-risking strategy which will lead to a strategic target asset allocation with a greater weighting to fixed income assets. Consequently, with effect from March 6, 2015, the expected return on assets assumption was reduced by 50 basis points from 7.00% to 6.50%.
The following table presents the assumptions used in the valuation to determine the projected benefit obligation for the fiscal years ended December 31, 2016 and 2015:
 
December 31, 2016
 
December 31, 2015
 
U.S.
 
U.K.
 
Other
 
PRW
 
U.S.
 
U.K.
 
Other
 
PRW
Discount rate
4.0
%
 
2.6
%
 
2.7
%
 
4.0
%
 
4.2
%
 
3.8
%
 
2.4
%
 
%
Rate of increase in compensation levels
4.3
%
 
3.2
%
 
2.3
%
 
N/A

 
N/A

 
3.3
%
 
2.2
%
 
%
 
 
Schedule of Allocation of Plan Assets
The Company’s pension plan asset target allocations as of December 31, 2016 were as follows:
 
 
U.S.
 
U.K.
 
Canada
 
Germany
 
Ireland
Asset Category
 
Willis
 
Towers Watson
 
Willis
 
Towers Watson
 
Miller
 
Towers Watson
 
Towers Watson
 
Willis
 
Towers Watson
Equity securities
 
50
%
 
23
%
 
32
%
 
13
%
 
27
%
 
60
%
 
36
%
 
38
%
 
73
%
Debt securities
 
50
%
 
43
%
 
50
%
 
60
%
 
57
%
 
40
%
 
60
%
 
28
%
 
27
%
Real estate
 
%
 
6
%
 
%
 
%
 
%
 
%
 
%
 
3
%
 
%
Other
 
%
 
28
%
 
18
%
 
27
%
 
16
%
 
%
 
4
%
 
31
%
 
%
Total
 
100
%
 
100
%
 
100
%
 
100
%
 
100
%
 
100
%
 
100
%
 
100
%
 
100
%
The fair values of our U.S. plan assets by asset category at December 31, 2016 and 2015 are as follows:
 
December 31, 2016
 
December 31, 2015
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
Asset category:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash
$
3

 
$

 
$

 
$
3

 
$

 
$

 
$

 
$

Short-term securities

 
33

 

 
33

 

 

 

 

Equity securities
253

 
8

 

 
260

 
86

 
7

 
 
 
93

Government bonds
10

 

 

 
10

 

 

 

 

Corporate bonds

 
169

 

 
170

 

 

 

 

Other fixed income

 
19

 

 
19

 

 

 

 

Pooled / commingled funds

 

 

 
1,665

 

 

 

 
476

Mutual funds
183

 

 

 
183

 
180

 

 

 
180

Private equity

 

 

 
234

 

 

 

 

Hedge funds

 

 

 
692

 

 

 

 

Total assets
$
449

 
$
229

 
$

 
$
3,269

 
$
266

 
$
7

 
$

 
$
749

The fair values of our U.K. plan assets by asset category at December 31, 2016 and 2015 are as follows:
 
December 31, 2016
 
December 31, 2015
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
Asset category:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash
$
49

 
$

 
$

 
$
49

 
$
149

 
$
2

 
$

 
$
151

Equity securities
374

 
8

 

 
382

 
737

 
17

 

 
754

Government bonds
1,184

 

 

 
1,184

 
836

 
1

 

 
837

Corporate bonds

 
118

 

 
118

 

 
138

 

 
138

Other fixed income

 
216

 

 
216

 

 

 

 

Pooled / commingled funds

 

 

 
1,677

 

 

 

 
820

Mutual funds

 

 

 
11

 

 

 

 

Private equity

 

 

 
40

 

 

 

 

Derivatives

 
73

 

 
73

 

 
195

 

 
195

Real estate

 

 

 
197

 

 

 

 
146

Hedge funds

 

 

 
426

 

 

 

 
457

Total assets
$
1,607

 
$
415

 
$

 
$
4,373

 
$
1,722

 
$
353

 
$

 
$
3,498

 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Liability category:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Derivatives

 
14

 

 
14

 

 
20

 

 
20

Net Assets
$
1,607

 
$
401

 
$

 
$
4,359

 
$
1,722

 
$
333

 
$

 
$
3,478

The fair values of our Other plan assets by asset category at December 31, 2016 and 2015 are as follows:
 
December 31, 2016
 
December 31, 2015
 
Level 1
 
Level 2
 
Level 3
 
Total
 
Level 1
 
Level 2
 
Level 3
 
Total
Asset category:
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Cash
$
17

 
$

 
$

 
$
17

 
$

 
$

 
$

 
$

Equity securities

 

 

 

 
1

 

 

 
1

Government bonds

 

 

 

 
29

 

 

 
29

Corporate bonds

 

 

 

 
4

 

 

 
4

Pooled / commingled funds

 

 

 
214

 

 

 

 

Mutual funds

 

 

 
224

 

 

 

 
102

Derivatives

 

 

 

 

 
19

 

 
19

Insurance contracts

 

 
17

 
17

 

 

 
1

 
1

Real estate

 

 

 

 

 

 

 
2

Total assets
$
17

 
$

 
$
17

 
$
472

 
$
34

 
$
19

 
$
1

 
$
158

 
 
Schedule of Net Plan Investments Reconciliation To Total Fair Value Of Plan Assets
The following table reconciles the net plan investments to the total fair value of the plan assets:
 
December 31,
 
2016
 
2015
Net assets held in investments
$
8,100

 
$
4,385

PRW plan assets
3

 

Net receivable for investments purchased
3

 

Dividend and interest receivable
3

 

Fair value of plan assets
$
8,109

 
$
4,385

 
 
Schedule of Effect of Significant Unobservable Inputs, Changes in Plan Assets
The following table sets forth a summary of changes in the fair value of the plans’ Level 3 assets for the fiscal year ended December 31, 2016:
 
Level 3
Roll Forward
Beginning balance at December 31, 2015
$
1

Insurance contracts acquired in the Merger
16

Foreign exchange

Ending balance at December 31, 2016
$
17

 
 
Schedule of Accumulated and Projected Benefit Obligations
The following table sets forth our projected pension contributions to our qualified plans for fiscal year 2017, as well as the pension contributions to our qualified plans in fiscal years 2016 and 2015:
 
2017
(Projected)
 
2016
(Actual)
 
2015
(Actual)
U.S.
$
50

 
$
50

 
$

U.K.
$
60

 
$
105

 
$
102

Other
$
13

 
$
29

 
$
6

 
 
Schedule of Expected Benefit Payments
Expected benefit payments from our defined benefit pension plans to current plan participants, including the effect of their expected future service, as appropriate, are as follows:
 
Benefit Payments
Fiscal Year
U.S.
 
U.K.
 
Other
 
PRW
 
Total
2017
226

 
91

 
27

 
15

 
359

2018
223

 
97

 
22

 
16

 
358

2019
231

 
101

 
24

 
16

 
372

2020
239

 
105

 
25

 
16

 
385

2021
244

 
111

 
26

 
16

 
397

Years 2022 – 2026
1,329

 
649

 
162

 
84

 
2,224

 
$
2,492

 
$
1,154

 
$
286

 
$
163

 
$
4,095