aspenleaf said:
scratch_king what is going on with the UPS pension? I am still new and do not know what everyone is talking about. Could someone explain this to?
All full-time UPS employees for the most part have their pension plans run by the Teamsters, there are several different plans depending on what part of the country you are in. These are "multiple employer plans", which mean that all the companies who hire Teamsters put all this pension money in one pot. There is no account set up with my name on it investing one penny that UPS has sent them on my behalf for the twenty-two years of credit I have earned. The money put into these plans are paid out to current retirees, "the ones who went before us". This would be great if more and more companies voted to join the Teamsters and would start to contribute, but the opposite has happened since a lot of union companies have gone bankrupt.
Some of these plans have been ran well, and are in pretty good financial shape. The biggest one, Central States, is in bad shape due to bad stock investments, large companies going bankrupt, and some people say corruption. As of Friday, CS has 20 billion dollars in it, which is up from the 15 billion in it back in 2002 when the stock market had a lot of high tech stocks bottom out. It had a 10.3% return on investments last year, which after all the bookkeeping was figured out, was about a $500,000.00 increase. The problem is, there are 220,000 retirees taking money out, and 160,000 active employees adding in to it.
In 1997, UPS tried to give the Teamsters $500,000.00 to get out of their contract obligations, but the Teamsters refused to negotiate on this. As members, we had no say in this, by law the company could not lobby directly with its employees. The union asked for a strike vote as a bargaining tool early in negotiations and was given authorization to call a strike if it wanted to. Using the excuse of the part-time employee jobs, this led to the two and a half week strike in 1997.
As a thirty year employee, eight part time and twenty-two full-time, I would like to retire as soon as possible while my body is in decent shape. But I turned forty-eight yesterday, I have a way to go. Good luck with your Nursing career, it is a much better job with a future. My personal heroes are not athletes, politicians or movie stars. Mine are soldiers, police officers, firemen, and nurses. They make the most difference!
