Retirement Benefits (Notes)

6 Months Ended

Jun. 30, 2021

Retirement Benefits [Abstract]

RETIREMENT BENEFITS

RETIREMENT BENEFITS

Defined Benefit Plans - Expense

The pre-tax net periodic benefit cost/(income) for our defined benefit pension and OPEB plans for the periods ended June 30 were as follows (in millions):

	Second Quarter
	Pension Benefits
	U.S. Plans				Non-U.S. Plans				Worldwide OPEB
	2020		2021		2020		2021		2020		2021
Service cost	$	130	$	127	$	127	$	139	$	11	$	12
Interest cost	323		239		130		109		41		32
Expected return on assets	(699)		(664)		(254)		(284)		—		—
Amortization of prior service costs/(credits)	1		—		8		7		(4)		(3)
Net remeasurement (gain)/loss	4		(182)		(152)		(81)		—		—
Separation programs/other	3		3		33		47		1		—
Settlements and curtailments	4		10		17		(1)		—		—
Net periodic benefit cost/(income)	$	(234)	$	(467)	$	(91)	$	(64)	$	49	$	41
	First Half
	Pension Benefits
	U.S. Plans				Non-U.S. Plans				Worldwide OPEB
	2020		2021		2020		2021		2020		2021
Service cost	$	260	$	265	$	258	$	283	$	23	$	24
Interest cost	646		462		263		208		84		64
Expected return on assets	(1,398)		(1,366)		(521)		(569)		—		—
Amortization of prior service costs/(credits)	2		1		17		12		(8)		(6)
Net remeasurement (gain)/loss	4		241		(232)		(565)		58		—
Separation programs/other	13		5		57		84		—		—
Settlements and curtailments	4		49		18		—		(2)		—
Net periodic benefit cost/(income)	$	(469)	$	(343)	$	(140)	$	(547)	$	155	$	82

The service cost component is included in Cost of sales and Selling, administrative, and other expenses. Other components of net periodic benefit cost/(income) are included in Other income/(loss), net on our consolidated income statements.

In the second quarter of 2020 and 2021, we recognized $51 million and $46 million, respectively, of expenses related to ongoing global redesign programs. In the first half of 2020 and 2021, we recognized $75 million and $84 million, respectively, of expenses related to ongoing global redesign programs. Until our global redesign actions are completed, we anticipate further adjustments to our plans in subsequent periods.

Pension Plan Contributions

During 2021, we expect to contribute between $700 million and $800 million of cash to our global funded pension plans. We also expect to make about $390 million of benefit payments to participants in unfunded plans. In the first half of 2021, we contributed $393 million to our worldwide funded pension plans and made $193 million of benefit payments to participants in unfunded plans.