Discussion in 'UPS Retirement Topics' started by moreluck, Feb 28, 2012.
Kodak Seeking to Cut Benefits for 16,000 Retirees | Fox Business
Happened to GM, too. Nothing is garaunteed ! Nothing that you get for free, anyways.
Retirees worked their entire adult lives and have earned those benefits.
I'm sure the Kodak people feel that way too.
I often think of this Kodak scenario when I hear union people saying , "yeah, let's strike! Let's break 'em down!" I guess I don't get that kind of mentality when it means you break the company that's suppose to take care of you in your old age. You know, the old adage....cut your own nose to spite your face....
"death and taxes"-----------------I get a little nervous everytime I get a letter from the Teamsters. The sad thing is that if Kodak is allowed to cut their retirees benefits then the top a-holes in the company will all get huge bonuses.
No they didn't ! It's a company benefit, that's all it is.
If the company no longer has money, it's the end of it.
I think that we need to seperate the UPS Management plan (which also covers the UPS Pilots ~ at their request) from the various plans which cover the UPS Teamsters.
I believce that under the trustee-ship arangements that cover the current Teamster pension; it takes representatives of both management and the Teamsters to make a change to the payout formulas.
The Central States plan; now that is a spacial case unto its self. With the special deals (like cutting the contribution for YRC Teamsters and not curtailing the benifits) and what I percieve to be general under funding; the Teamsters will run that one into the ground without any help.
As for the Management plan; for some employees (I believe for those under age 28) ~ it is NO longer a defined benifit plan. For those folks, the pension looks and feels like an enhanced 401K. For those under the defined benifit plan (a traditional pension); I would worry. I would become very familiar with the Pension Benifit Guarantee Corporation's website Maximum Monthly Guarantee Tables . That is truly the ONLY guarantee you have.
Moreluck's article concerns cuts to retiree health insurance, not to their pension plan.
By the way, the PBGC is itself in debt, as is its parent organization, The United States Government.
For GM after the rescue plan? So was it a part of the deal to rescue the company? Because that sound legit and helps all the employees
To answer the OP question, "Could This Happen Here", absolutely.
Although my comments may not be popular here, company pensions are now outdated forms of benefits that certainly are not secure. In addition, leaving your "investment" in the hands of others is generally not a good idea (CSPF). Pensions are not portable nor do they keep pace with inflation. Hmmmm the more I type, the more I feel a parallel to Social Security "Benefits"...
I'm new to these forums, but I have worked with UPS a long time. Kodak is a company whose days are numbered. How many people do you see buying film any more? It wasn't all that long ago when you would go to a Wal~Mart and see an entire section in Electronics filled with 35mm film. The digital age is here and Kodak just can't cope. So I can clearly see how they would have to cut benifits. They are a company living in a ghost town and just about ready to die.
On the other hand, UPS is as strong as ever. Someone here mentioned GM. Well, GM did cut benifits when they thought they were about to go the way of the dinosaur. But now that they have pulled themselves back together, things have become more stable and beneifits have been restored in many cases.
If UPS were to get to the point where we were losing so much money that we were threatened with closure, you bet we would see it happening. It already has. We lost all 401K matching for over 5 years. Managers and supervisors were stuck in a wage freeze. And look at our current benefits. We used to have the best insurance out there. Now we're no better than anyone else.
So to answer your question directly; yes, it can happen. It can happen with any corporation.
If UPS was losing so much money how did they end up buying TNT for over 6 Billion dollars??
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