Boeing (BA) machinists are voting on a new tentative labor contract that could end the five-week strike. Salvatore Capizzi, Dunham & Associates Investment Counsel Inc. executive vice president, joins Wealth! to discuss why defined benefit pensions are important for the union.

"I think it comes down to the fact that we're all recognizing the fact that we are going to be living longer... If we as a society are living longer, the 401 (k)s, the traditional defined contribution plans, do they really provide the amount of protection we need in retirement for income as the old defined contribution plans do? And the answer is no," Capizzi tells Yahoo Finance.

He notes that you can run out of money in defined contribution plans, depending on whether you saved enough. He adds, "Your first few years of retirement are really poor in terms of your returns. You can devastate the plan. You can literally go broke in your 80s." Thus, a pension plan provides "certainty" as recipients know the income they can expect.

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This post was written by Melanie Riehl