Tesco PLC, Cheshunt, England, is conducting a consultation on a possible freeze of the company's defined benefit plan, a transcript from Thursday's sales and revenue call shows.
The consultation will occur through June with possible changes implemented in February 2016.
Falling corporate bond yields and a subsequent fall in the discount rate resulted in a pension funding deficit of £3.2 billion ($4.8 billion) as of March 31, 2014, according to the company's most recent annual report.
Tesco's pension fund had £8.1 billion in assets and £11.3 billion in liabilities for a funded status of 71.7% as of March 31, according to the report.
Holly Kousalari, a spokeswoman for Tesco, could not immediately provide additional information by press time.