The company is considering whether to dilute pay-outs for its 5,000 staff in a bid to fill a £19 million deficit in its pension plan, the newspaper reports.
The firm allows its employees to join a defined-benefit retirement scheme, meaning the payments they receive when retired are linked to their average earnings at Saga.
Under the potential changes, Saga could put a ceiling on benefits, or get workers to make cash contributions to retain their current benefits, the Sunday Times reports.
