Pensions are partially the outcome of wishful result-oriented thinking ("workers should have pensions they can depend on, so make the promise first and then the solution will happen").
That’s a bond. Why does that have anything to do with a pension ?
And who in his right mind plants a bond and links it to a pension ? How does that even work?
A bond is a loan. That means the firm or institution is taking a loan.
A pension is the opposite of that - it’s money taken from employee payments and added to a conservative fund with a time horizon of 20-30 years. This allows them to make long term plans which avoid the risks of high beta and risk stocks or deals.
So as your economy goes up, your fund goes up and you pay people off with the interest.
Something changed/went wrong, long before you got to the bond.
There is nothing more "conservative" in investing than bonds ( particularly treasury bonds ).
Nobody "plants" a bond and links it to a pension. A pension buys bonds, stocks, etfs, etc which hopefully grows in value or pays healthy interest.
The problem is if the pension doesn't do as well as expected or the ratio of workers to retirees gets too skewed and they can't meet their defined payouts.
But even they will not produce enough for the benefits that are promised: as soon as someone outlives their contribution the fund might not be actuarially safe. It turns out it is exceedingly difficult to mitigate all risk in a retirement fund, and government makes the promise that if they fail, they will pass the bill to someone else.
Pension funds are truly evil.