Rendering

Component: (Network and Table)
Network
2307301 - Disclosure - Retirement Benefits Plans (Tables)
(http://www.eaton.com/role/RetirementBenefitsPlansTables)
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]
 
Obligations and funded status
Obligations and Funded Status
 
United States
pension liabilities
 
Non-United States
pension liabilities
 
Other postretirement
liabilities
 
2016
 
2015
 
2016
 
2015
 
2016
 
2015
Funded status
 
 
 
 
 
 
 
 
 
 
 
Fair value of plan assets
$
2,969

 
$
2,934

 
$
1,478

 
$
1,472

 
$
74

 
$
93

Benefit obligations
(3,771
)
 
(3,829
)
 
(2,314
)
 
(2,175
)
 
(473
)
 
(575
)
Funded status
$
(802
)
 
$
(895
)
 
$
(836
)
 
$
(703
)
 
$
(399
)
 
$
(482
)
 
 
 
 
 
 
 
 
 
 
 
 
Amounts recognized in the Consolidated
   Balance Sheets
 
 
 
 
 
 
 
 
 
 
 
Non-current assets
$
34

 
$
11

 
$
33

 
$
57

 
$

 
$

Current liabilities
(24
)
 
(57
)
 
(22
)
 
(23
)
 
(31
)
 
(42
)
Non-current liabilities
(812
)
 
(849
)
 
(847
)
 
(737
)
 
(368
)
 
(440
)
Total
$
(802
)
 
$
(895
)
 
$
(836
)
 
$
(703
)
 
$
(399
)
 
$
(482
)
 
 
 
 
 
 
 
 
 
 
 
 
Amounts recognized in Accumulated other
   comprehensive loss (pretax)
 
 
 
 
 
 
 
 
 
 
 
Net actuarial loss
$
1,232

 
$
1,322

 
$
771

 
$
644

 
$
21

 
$
95

Prior service cost (credit)
3

 
5

 
8

 
9

 
(60
)
 
(74
)
Total
$
1,235

 
$
1,327

 
$
779

 
$
653

 
$
(39
)
 
$
21

 
 
Change in benefit obligations
Change in Benefit Obligations
 
United States
pension liabilities
 
Non-United States
pension liabilities
 
Other postretirement
liabilities
 
2016
 
2015
 
2016
 
2015
 
2016
 
2015
Balance at January 1
$
3,829

 
$
4,047

 
$
2,175

 
$
2,337

 
$
575

 
$
676

Service cost
111

 
123

 
63

 
71

 
4

 
6

Interest cost
125

 
156

 
62

 
72

 
17

 
24

Actuarial (gain) loss
52

 
(179
)
 
355

 
(23
)
 
(72
)
 
(66
)
Gross benefits paid
(346
)
 
(318
)
 
(94
)
 
(100
)
 
(79
)
 
(86
)
Currency translation

 

 
(245
)
 
(182
)
 
1

 
(8
)
Plan amendments




2






(1
)
Other

 

 
(4
)
 

 
27

 
30

Balance at December 31
$
3,771

 
$
3,829

 
$
2,314

 
$
2,175

 
$
473

 
$
575

 
 
 
 
 
 
 
 
 
 
 
 
Accumulated benefit obligation
$
3,620

 
$
3,672

 
$
2,189

 
$
2,049

 
 
 
 
 
 
Change in plan assets
Change in Plan Assets
 
United States
pension liabilities
 
Non-United States
pension liabilities
 
Other postretirement
liabilities
 
2016
 
2015
 
2016
 
2015
 
2016
 
2015
Balance at January 1
$
2,934

 
$
3,086

 
$
1,472

 
$
1,535

 
$
93

 
$
116

Actual return on plan assets
221

 
(55
)
 
212

 
29

 
3

 
1

Employer contributions
160

 
221

 
102

 
109

 
30

 
31

Gross benefits paid
(346
)
 
(318
)
 
(94
)
 
(100
)
 
(79
)
 
(86
)
Currency translation

 

 
(211
)
 
(101
)
 

 

Other

 

 
(3
)
 

 
27

 
31

Balance at December 31
$
2,969

 
$
2,934

 
$
1,478

 
$
1,472

 
$
74

 
$
93

 
 
Components of pension plans with accumulated benefit obligations in excess of plan assets
The components of pension plans with an accumulated benefit obligation in excess of plan assets at December 31 follow:
 
United States
pension liabilities
 
Non-United States
pension liabilities
 
2016
 
2015
 
2016
 
2015
Projected benefit obligation
$
3,342

 
$
3,376

 
$
1,902

 
$
1,387

Accumulated benefit obligation
3,190

 
3,219

 
1,824

 
1,328

Fair value of plan assets
2,505

 
2,470

 
1,066

 
650

 
 
Changes in pension and other postretirement benefits liabilities recognized in Accumulated other comprehensive loss
Changes in pension and other postretirement benefit liabilities recognized in Accumulated other comprehensive loss follow:
 
United States
pension liabilities
 
Non-United States
pension liabilities
 
Other postretirement
liabilities
 
2016
 
2015
 
2016
 
2015
 
2016
 
2015
Balance at January 1
$
1,327

 
$
1,382

 
$
653

 
$
706

 
$
21

 
$
90

Prior service cost arising during the year

 

 
2

 

 

 
(1
)
Net loss (gain) arising during the year
81

 
138

 
235

 
47

 
(69
)
 
(62
)
Currency translation

 

 
(75
)
 
(58
)
 
1

 
(4
)
Less amounts included in expense during the year
(173
)
 
(193
)
 
(36
)
 
(42
)
 
8

 
(2
)
Net change for the year
(92
)
 
(55
)
 
126

 
(53
)
 
(60
)
 
(69
)
Balance at December 31
$
1,235

 
$
1,327

 
$
779

 
$
653

 
$
(39
)
 
$
21

 
 
Benefits expense
Benefits Expense
 
United States
pension benefit expense
 
Non-United States
pension benefit expense
 
Other postretirement
benefits expense
 
2016
 
2015
 
2014
 
2016
 
2015
 
2014
 
2016
 
2015
 
2014
Service cost
$
111

 
$
123

 
$
117

 
$
63

 
$
71

 
$
66

 
$
4

 
$
6

 
$
13

Interest cost
125

 
156

 
162

 
62

 
72

 
85

 
17

 
24

 
32

Expected return on plan assets
(250
)
 
(262
)
 
(246
)
 
(92
)
 
(99
)
 
(98
)
 
(6
)
 
(5
)
 
(6
)
Amortization
92

 
119

 
93

 
33

 
40

 
27

 
(9
)
 
2

 
6

 
78

 
136

 
126

 
66

 
84

 
80

 
6

 
27

 
45

Settlements, curtailments
   and other
81

 
74

 
71

 
3

 
2

 
2

 
1

 

 
(31
)
Total expense
$
159

 
$
210

 
$
197

 
$
69

 
$
86

 
$
82

 
$
7

 
$
27

 
$
14

 
 
Estimated pretax net amounts that will be recognized from Accumulated other comprehensive loss into net periodic benefit cost
The estimated pretax net amounts that will be recognized from Accumulated other comprehensive loss into net periodic benefit cost in 2017 follow:
 
United States
pension liabilities
 
Non-United States
pension liabilities
 
Other postretirement
liabilities
Actuarial loss
$
142

 
$
54

 
$
2

Prior service cost (credit)
1

 
1

 
(14
)
Total
$
143

 
$
55

 
$
(12
)
 
 
Assumptions used to determine other postretirement obligations and expense
Pension Plans
 
United States
pension plans
 
Non-United States
pension plans
 
2016
 
2015
 
2014
 
2016
 
2015
 
2014
Assumptions used to determine benefit obligation at year-end
 
 
 
 
 
 
 
 
 
 
 
Discount rate
4.12
%
 
4.22
%
 
3.97
%
 
2.63
%
 
3.46
%
 
3.33
%
Rate of compensation increase
3.15
%
 
3.18
%
 
3.16
%
 
3.13
%
 
3.12
%
 
3.13
%
 
 
 
 
 
 
 
 
 
 
 
 
Assumptions used to determine expense
 
 
 
 
 
 
 
 
 
 
 
Discount rate used to determine benefit obligation
4.22
%
 
3.97
%
 
4.67
%
 
3.46
%
 
3.33
%
 
4.20
%
Discount rate used to determine service cost
4.35
%
 
3.97
%
 
4.67
%
 
4.13
%
 
3.33
%
 
4.20
%
Discount rate used to determine interest cost
3.42
%
 
3.97
%
 
4.67
%
 
3.07
%
 
3.33
%
 
4.20
%
Expected long-term return on plan assets
8.50
%
 
8.50
%
 
8.40
%
 
6.62
%
 
6.92
%
 
7.00
%
Rate of compensation increase
3.18
%
 
3.16
%
 
3.16
%
 
3.12
%
 
3.13
%
 
3.12
%
 
 
Assumptions used to determine other postretirement benefits obligations and expense
Assumptions used to determine other postretirement benefits obligations and expense follow:
 
Other postretirement
benefits plans
 
2016
 
2015
 
2014
Assumptions used to determine benefit obligation at year-end
 
 
 
 
 
Discount rate
3.96
%
 
4.04
%
 
3.79
%
Health care cost trend rate assumed for next year
7.35
%
 
7.10
%
 
6.31
%
Ultimate health care cost trend rate
4.75
%
 
4.75
%
 
4.77
%
Year ultimate health care cost trend rate is achieved
2026

 
2025

 
2024

 
 
 
 
 
 
Assumptions used to determine expense
 
 
 
 
 
Discount rate used to determine benefit obligation
4.04
%
 
3.79
%
 
4.48
%
Discount rate used to determine service cost
4.26
%
 
3.79
%
 
4.48
%
Discount rate used to determine interest cost
3.12
%
 
3.79
%
 
4.48
%
Initial health care cost trend rate
7.10
%
 
6.31
%
 
6.64
%
Ultimate health care cost trend rate
4.75
%
 
4.77
%
 
4.77
%
Year ultimate health care cost trend rate is achieved
2025

 
2024

 
2023

 
 
1-percentage change in the assumed health care cost trend rates
A 1-percentage point change in the assumed health care cost trend rates would have the following effects:
 
1% increase
 
1% decrease
Effect on total service and interest cost
$
1

 
$
(1
)
Effect on other postretirement liabilities
17

 
(15
)
 
 
Employer contributions to pension plans
Contributions to pension plans that Eaton expects to make in 2017, and made in 2016, 2015 and 2014, follow:
 
2017
 
2016
 
2015
 
2014
United States plans
$
125

 
$
160

 
$
221

 
$
248

Non-United States plans
90

 
102

 
109

 
114

Total contributions
$
215

 
$
262

 
$
330

 
$
362

 
 
Expected pension and other postretirement benefit payments and expected subsidy
For other postretirement benefits liabilities, the expected subsidy receipts related to the Medicare Prescription Drug, Improvement, and Modernization Act of 2003 would reduce the gross payments listed below.
 
Estimated
United States
pension payments
 
Estimated
non-United States
pension payments
 
Estimated other postretirement
benefit payments
 
 
 
Gross
 
Medicare prescription
drug subsidy
2017
$
309

 
$
77

 
$
53

 
$
(5
)
2018
279

 
80

 
50

 
(5
)
2019
278

 
83

 
46

 
(4
)
2020
281

 
86

 
42

 
(4
)
2021
289

 
88

 
36

 
(3
)
2022 - 2026
1,460

 
495

 
156

 
(9
)
 
 
Fair value of pension plan assets
A summary of the fair value of pension plan assets at December 31, 2016 and 2015, follows:
 
Total
 
Quoted prices
in active
markets for
identical assets
(Level 1)
 
Other
observable
inputs
(Level 2)
 
Unobservable
inputs
(Level 3)
2016

 
 
 
 
 
 
Common collective trusts
 
 
 
 
 
 
 
Non-United States equity and global equities
$
413

 
$

 
$
413

 
$

United States equity
94

 

 
94

 

Fixed income
422

 

 
422

 

Fixed income securities
359

 

 
359

 

United States treasuries
123

 
123

 

 

Bank loans
150




150



Real estate securities
201

 
195

 

 
6

Equity securities
104

 
104

 

 

Cash equivalents
276

 
21

 
255

 

Exchange traded funds
55

 
55

 

 

Other
109

 

 
14

 
95

Common collective and other trusts measured at net asset value
2,038

 
 
 
 
 
 
Hedge funds measured at net asset value
85

 
 
 
 
 
 
Money market funds measured at net asset value
18

 
 
 
 
 
 
Total pension plan assets
$
4,447

 
$
498

 
$
1,707

 
$
101




 
Total
 
Quoted prices
in active
markets for
identical assets
(Level 1)
 
Other
observable
inputs
(Level 2)
 
Unobservable
inputs
(Level 3)
2015
 
 
 
 
 
 
 
Common collective trusts
 
 
 
 
 
 
 
Non-United States equity and global equities
$
415

 
$

 
$
415

 
$

United States equity
96

 

 
96

 

Fixed income
418

 

 
418

 

Fixed income securities
357

 

 
357

 

United States treasuries
105

 
105

 

 

Bank loans
136

 

 
136

 

Real estate securities
251

 
244

 

 
7

Equity securities
98

 
98

 

 

Cash equivalents
227

 
17

 
210

 

Exchange traded funds
49

 
49

 

 

Other
100

 

 
14

 
86

Common collective and other trusts measured at net asset value
2,043

 
 
 
 
 
 
Hedge funds measured at net asset value
92

 
 
 
 
 
 
Money market funds measured at net asset value
19

 
 
 
 
 
 
Total pension plan assets
$
4,406

 
$
513

 
$
1,646

 
$
93

 
 
Fair value measurement of plan assets using significant unobservable inputs
The fair value measurement of plan assets using significant unobservable inputs (Level 3) changed during 2015 and 2016 due to the following:
 
Real estate securities
 
Other
 
Total
Balance at December 31, 2014
$
6

 
$
60

 
$
66

Actual return on plan assets:
 
 
 
 
 
Gains (losses) relating to assets still held at year-end
1

 
(2
)
 
(1
)
Purchases, sales, settlements - net

 
37

 
37

Transfers into or out of Level 3

 
(9
)
 
(9
)
Balance at December 31, 2015
7

 
86

 
93

Actual return on plan assets:
 
 
 
 
 
Gains (losses) relating to assets still held at year-end

 
(6
)
 
(6
)
Purchases, sales, settlements - net
(1
)
 
15

 
14

Transfers into or out of Level 3

 

 

Balance at December 31, 2016
$
6

 
$
95

 
$
101

 
 
Fair value of other postretirement benefits plan assets
A summary of the fair value of other postretirement benefits plan assets at December 31, 2016 and 2015, follows:
 
Total
 
Quoted prices
in active
markets for
identical assets
(Level 1)
 
Other
observable
inputs
(Level 2)
 
Unobservable
inputs
(Level 3)
2016
 
 
 
 
 
 
 
Cash equivalents
$
8

 
$
8

 
$

 
$

Common collective and other trusts measured at net asset value
66

 
 
 
 
 
 
Total other postretirement benefits plan assets
$
74

 
$
8

 
$

 
$




 
Total
 
Quoted prices
in active
markets for
identical assets
(Level 1)
 
Other
observable
inputs
(Level 2)
 
Unobservable
inputs
(Level 3)
2015
 
 
 
 
 
 
 
Fixed income securities
18

 

 
18

 

United States treasuries
20

 
20

 

 

Cash equivalents
11

 
11

 

 

Common collective and other trusts measured at net asset value
44

 
 
 
 
 
 
Total other postretirement benefits plan assets
$
93

 
$
31

 
$
18

 
$

 
 
Employer contributions to defined contribution benefit plans, charged to expense
The total contributions related to these plans are charged to expense and were as follows:
2016
$
72

2015
137

2014
141