UPS raising retirement age from 55 to 62?

[FERNDOG]

There is an UGLY rumor in my district that UPS is raising the retirement age for managment up to 62...any input on the subject?

Originally Posted by FERNDOG

There is an UGLY rumor in my district that UPS is raising the retirement age for managment up to 62...any input on the subject?

UPS doesn't change retirement age..the government does.

Yup, even heard it from people in HR. I've heard 57 and 60. Also heard further pension changes.

Why did we go public again??????

[Hangingon]

I haven't heard anything, but I'll help it along if you want. It would be nice to see their faces when first told about it.

[retired2000]

goverment does not set the age you can leave. the company and the pension plans do.

YES it is only for management and admin (the union still does the 80 and out or whatever the local language is. Anyway, 62 for new people entering and somewhere between 55 and 62 for those "grandfathered" depending on years of service and age. I am 48 so I see them maybe extending my tour of duty to 56 or 57, but you young bucks are so screwed!!

[Hangingon]

Dang, it's 80 and out now? Oh well guess that means the pension funds will be fully funded in no time.

[laborer]

The new 80 and out program is designed to relieve the stress of workers having to worry about funding their retirement days....

[BSUUPS]

Yeah, I heard the same rumor as DHshreckenpus. Unfortunately, I am only 29 and will be working forever.

I heard that an announcement will be made soon. All current mgmt and admin will still be able to retire at 55. However, whenever this announcement is made...the new retirement age for new hires will become 58.

Sounds fair at least to me...


-Brown Puppy

[opt3]

whats instore for the young bucks like myself im only 27. 80 and your out thats 53 more years . will the ret. age ever decrease?

[scratch]

OPT3,

I'm disappointed too in the new Eighty and Out Central States Pension Plan. I was planning on the Fourty and Out Plan, but will start looking forward to retiring at the tender age of ninety-seven.

[opt3]

Theres talk down here that bigbrown wants to buy out the penplan although thats what lead to the strike awhile back. if thats true any input good,bad,or otherwise?

[sendagain]

The "Golden 80" plan has been in effect out west for some years; took advantage of it myself. If your age plus years of service reach 80, then you can leave and start drawing your pension.

[beentheredonethat]

Originally Posted by opt3

whats instore for the young bucks like myself im only 27. 80 and your out thats 53 more years . will the ret. age ever decrease?

The 80 and out is for years or service and your age combined. If you started at 20 then you have 7 years in and you are 27 so you have 34 combined. To get to 80 you'd need 46 more combined years or 23 more years, which gets you to 50 (30 years of service + 50 years old = 80 and out). However, if your plan doesn't already have it, I don't see any plans implementing it (mgmt or teamster). If your plan does have it, I wouldn't be surprised to see it pushed back or having 80 and out with a minimum age.

Announcement to come out this week! I am sure it is not going to be a good one... What happened to the partnership???

Originally Posted by Old and Grey

Announcement to come out this week! I am sure it is not going to be a good one... What happened to the partnership???

Partnership - It was revised, it now starts at the division level and up.

[Channahon]

Originally Posted by Old and Grey

Announcement to come out this week! I am sure it is not going to be a good one... What happened to the partnership???

It'll be a good announcement, just like flex benefits, MIP changes. Someone will be giving the presentation and as always, putting a positive spin on the change. Most of my HR friends were ready to throw up, having to give the information, knowing the changes were not the best for UPS management.

Although I am retired since last January, I still plan on my benefits changing, and plan my finances accordingly.

Still a great retirement package, as long as it lasts. FedEx leads the charge on this one, and UPS will follow.

I am planning on retiring the first of June, hope it doesn't affect me

[helenofcalifornia]

What do you mean Fedex is leading the charge in changes? What changes? And just for management, right?

[krash]

Maybe tie guy can confirm but I believe they had 57 as the original age for retirement.

[Channahon]

Helen
FED EX Non Union and Management Employees.

FedEx to Modernize Retirement Plans
Recognizes regulatory changes and demographic shifts

MEMPHIS, Tenn., Feb. 27, 2007 – FedEx Corporation (NYSE: FDX) today announced new measures it is taking to modernize its retirement plans for most of its employees. These measures will take place in the coming year and are in direct response to recent legislative, regulatory and demographic changes that continue to dramatically reshape U.S. retirement benefit needs.
FedEx will continue to offer highly competitive retirement benefits funded entirely by the company and will also enhance its 401(k) plans. The company expects to spend about the same amount on its employees’ retirement plans over the long run as it would have spent under the current design and current rules.
Under the new program, most eligible employees who participate in a pension plan will begin accruing future benefits under a cash balance formula, which FedEx calls the Portable Pension Account, effective June 1, 2008. Any benefits already accrued under a traditional pension benefit formula will be capped as of May 31, 2008 and will be payable monthly at retirement. These changes will not affect the benefits of current retirees.
FedEx said its new approach to pensions resulted from three recent external factors:
• Recently adopted and proposed changes in accounting rules;
• The recently enacted federal Pension Protection Act;
• Shifting demographic trends among retirees resulting in greater life expectancy, healthier lifestyles and desire for greater control, portability and inheritability of retirement benefits.
‘Right thing to do’
“The retirement landscape is shifting dramatically and we have a responsibility to our employees and shareowners to meet these challenges head on. We have been studying these issues closely and actively participating in the debate about retirement program reform and believe that given the circumstances this is the right thing to do for our employees,” said Alan B. Graf, Jr., executive vice president and chief financial officer of FedEx Corp. “In light of the unacceptable risk and volatility that the accounting-rule and funding changes are presenting, FedEx is making necessary changes to ensure that the company will remain competitive and help our employees prepare for a comfortable retirement.”

Graf said that the Pension Protection Act, signed into law August 2006, allows FedEx to enhance its 401(k) retirement plans and to expand the number of workers covered by its Portable Pension Account, a cash balance feature that FedEx introduced in 2003.

In addition, demographic trends make it apparent employees need to be more active in saving for their retirement and participating more fully in 401(k) retirement plans. “The future is clear: Employees are living and working longer and retirement plans need to offer greater flexibility,” said William J. Cahill, FedEx corporate vice president, human resources. “Updated FedEx 401(k) plans will make saving easier and investments more diversified so retirees can better control their finances

[MR_Vengeance]

i cant imagine whole bunch of old dudes doing delivery in their 60's.

The fedex plan doesn't sound bad. I'm sure UPS willl follow the lead of Fedex, except UPS will throw in a cost savings by screwing the current non-union and management emloyees. Look for news on Wednesday. Cost savings will be announced with poor earnings. Stock will take a dive...again. JMHO

[BCFan]

Originally Posted by krash

Maybe tie guy can confirm but I believe they had 57 as the original age for retirement.

thats great ill have 34 years in at 57 ....damn i hope my hoveround has a strong battery BC