May 10th Announcement .Pension

[UPS Lifer]

I am reading this thread and I feel real bad for most of you. I went through these rumors all the way to last year. Now it does not affect me. It will be real interesting to see what comes out of the meeting next week. Let's all hope it affects the stock in a POSITIVE way and boosts it up about $10 a share so everyone can retire earlier!!!

 

[upsandDOWNS]

Doubt it, but Number 1 pay for benefits...2 Stock options reduced or eliminated....Step 3 redesign pension...we are no longer private partners. we are now regular big business and that is the path a business takes. Soooooooooo something is coming and probably not good

 

[jehardrock]

Elimination of the management pension plan saves UPS big $$. UPS is currently obligated to pay into the pension plan for all employees. However, not all get into the 401K or contribute for the maximum match. Too many live for today. That's the savings for UPS. If this is eliminated the only golden handcuff left is the accumulated Restricted Stock Units (RSUs). There is also talk of a "Leadership Crisis" within UPS and meetings are taking place to discuss promotable candidates. Even though they discuss them, opportunities still do not exist for those that are "No-Relo". We're headed for some sad times where the true leaders will be working to make their less competent Managers successful. But I've always said that a Manager is only as good as the people that work for them.

 

[constructively dissatisfi]

Elimination of the management pension plan saves UPS big $$. UPS is currently obligated to pay into the pension plan for all employees. However, not all get into the 401K or contribute for the maximum match. Too many live for today. That's the savings for UPS. If this is eliminated the only golden handcuff left is the accumulated Restricted Stock Units (RSUs). There is also talk of a "Leadership Crisis" within UPS and meetings are taking place to discuss promotable candidates. Even though they discuss them, opportunities still do not exist for those that are "No-Relo". We're headed for some sad times where the true leaders will be working to make their less competent Managers successful. But I've always said that a Manager is only as good as the people that work for them.

We are already there. The "Leadership Crisis" is that at the top there is none. We are now a company where the winners usually have to work for the butt-smooching losers. I have relocated 5 times since I've been with UPS but I would not do it again. The company's commitment to people isn't strong enough to justify people making that kind of sacrifice for the company any more. And since management compensation has deteriorated over the past 10 years many people have to rely on their spouse's income to survive. This makes relocating impossible.

 

[dumbsup]

UPS Pension obligation per qtr is almost $1 billion, is that true? A DM in our district said that Friday. Soemthing is up, even the DM's are talking...

 

[Tarnsman]

UPS Pension obligation per qtr is almost $1 billion, is that true? A DM in our district said that Friday. Soemthing is up, even the DM's are talking...

......Perhaps the UPS Management Pension Plan is going to absorbed into and run by the Mechanics Union.....

 

[tieguy]

We are already there. The "Leadership Crisis" is that at the top there is none. We are now a company where the winners usually have to work for the butt-smooching losers. I have relocated 5 times since I've been with UPS but I would not do it again. The company's commitment to people isn't strong enough to justify people making that kind of sacrifice for the company any more. And since management compensation has deteriorated over the past 10 years many people have to rely on their spouse's income to survive. This makes relocating impossible.

I have never seen anyone that was asked to relocate that would rely on their spouses salary to survive. All relocatees I have seen are divison manager in rank and higher. All recieve some pretty generous terms from what I have seen?

 

[jehardrock]

Originally Posted by boiled frog
We are already there. The "Leadership Crisis" is that at the top there is none. We are now a company where the winners usually have to work for the butt-smooching losers. I have relocated 5 times since I've been with UPS but I would not do it again. The company's commitment to people isn't strong enough to justify people making that kind of sacrifice for the company any more. And since management compensation has deteriorated over the past 10 years many people have to rely on their spouse's income to survive. This makes relocating impossible.

I hope you knew what the carrot was and received it before relocating each time

 

[dumbsup]

When a DM is relocated he is paid pretty well for the hassle. Moving costs and stipends on top of regular pay,MIP, half month and options.

 

[constructively dissatisfi]

When a DM is relocated he is paid pretty well for the hassle. Moving costs and stipends on top of regular pay,MIP, half month and options.

Having your moving costs paid isn't exactly "paid pretty well". Especially if you're moving somewhere the cost of living is signifcantly higher. You usually don't get paid enough to cover the difference.

 

[moreluck]

Boiled....you're right. We moved several times with UPS and it was like playing "catch up" each time compared to the guy that didn't move anywhere his entire career. The "catch-up" was anywhere from 2-5 yrs. depending on the area you were moved to.

 

[tieguy]

Having your moving costs paid isn't exactly "paid pretty well". Especially if you're moving somewhere the cost of living is signifcantly higher. You usually don't get paid enough to cover the difference.

Does the extra two grand a month for two years help?

 

[constructively dissatisfi]

Does the extra two grand a month for two years help?

That's not quite how it works. There's a formula that considers what a house like yours would cost in the new location, your current interest rate on your mortgage and all kinds of stuff. You may be eligible for some extra money to make up the difference in the cost of your house for a few years. But after that you're screwed. Especially with the crummy raises we can expect these days.

 

[moreluck]

The subsidized house payment for 5 years is great.........you don't get the money directly (we didn't). Your housepayment for the first year is low especially in CA. It increases yearly as the subsidy lessens. At 5 years your are slapped with the biggest mortgage payment of your life and your raises during that 5 yr. period DO NOT cover it.

That's why the people who stay put and don't move make out better financially.....I think. They are in the same house as they were 30 yrs. ago and it's now paid off and the people who moved could very well be in a home at or near retirement age and still facing a 27 yr. mortgage.

 

[constructively dissatisfi]

Does the extra two grand a month for two years help?

I also should have added: Tie, suppose you got an extra $2k a month because the payment on a house just like your old one in the new location COSTS $2k more a month. Then before you know it that $2k extra you're getting tapers off to nothing. But guess what? Your mortgage payment doesn't taper off. It stays the same.

 

[brownISer]

not to mention the family-related sacrifices one makes during their career if they relo several times...regardless, I think we are going off topic and need to hear from those in the know, about the May 10 announcement.

Maybe NEWYORKER could shed some light. He was all over the last buyout announcement and then disappeared once it was announced. How 'bout it NEWYORKER, are you still lurking?

and he could also say a thing or two about relo, having done it several times himself..!!

 

[nhguy]

I agree, Let's stay on topic. I want to know as much as possible about this rumored big announcement this week!!

Anyone in the know, shed some light on us!!!!!!!!!!!!!!!!!!!!1

 

[tieguy]

I also should have added: Tie, suppose you got an extra $2k a month because the payment on a house just like your old one in the new location COSTS $2k more a month. Then before you know it that $2k extra you're getting tapers off to nothing. But guess what? Your mortgage payment doesn't taper off. It stays the same.

I would imagine thats true in some cases where you move from low cost of living to high. In many cases I see those who move leverage these perks to buy a bigger and better house then what they had before. They buy with an interest only mortgage to maximize the house they can buy and with the intent of moving again in a few years.

 

[tieguy]

I agree, Let's stay on topic. I want to know as much as possible about this rumored big announcement this week!!

Anyone in the know, shed some light on us!!!!!!!!!!!!!!!!!!!!1

we will know thursday. until then I would not treat anything posted here as anything but rumor.

 

[???]

..guy`s we are hearing the same rumor over here at UPSF,and there are meetings of management going on...so...guess its time to be prepared for the worst !