Home
Forums
New posts
Search forums
What's new
New posts
Latest activity
Members
Current visitors
Log in
Register
What's new
Search
Search
Search titles only
By:
New posts
Search forums
Menu
Log in
Register
Install the app
Install
Home
Forums
Brown Cafe UPS Forum
UPS Union Issues
Jonfrum
JavaScript is disabled. For a better experience, please enable JavaScript in your browser before proceeding.
You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an
alternative browser
.
Reply to thread
Message
<blockquote data-quote="JonFrum" data-source="post: 227732"><p>So where has all the money gone? The Trustees lost some of it in the market.</p><p></p><p>1. Trustees lost a portion of it in the market downturn of 2000-2002. This loss effects each pension plan differently, depending on exactly how much money the plan had invested at the time, and how long they stayed invested as the market continued to fall. This sort of loss, unfortunately, can strike any plan, single-employer or multi-employer, as well as any other investment, like say, your own personal IRA and 401(k). Indeed, the Central States plan, which we hear so much about because it is so big and did so poorly, has been under the watchful eye of the federal government and a judge since 1982 as a result of a consent decree, and has been professionally invested by leading Wall Street firms. Go Figure. (You don't hear as much about the Western Conference fund, for example, which is even larger, actually made money during the downturn, and is (nearly?) 100% funded.) The current upturn in the stock market should be improving the viability of all funds but yet for some reason CS continues to struggle. </p><p></p><p>2. The money contributed to the various pension funds by UPS is the result of the collective bargaining process. Teamsters negotiators and UPS negotiators, agree on an amount of money to be contributed on behalf of each bargaining unit member for each hour of work he/she performs. Here in New England, this includes part-timers and full-timers alike. Every paid hour counts: sick days, holidays, vacation days etc., (even overtime) but never more than 40 hours per week total. This is spelled out in Article 69 of the New England Supplement. The hourly contribution rate currently is $5.06 and is scheduled to increase 20 cents per hour on 8-1-07 to $5.26. That's $202.40 per week currently, and then $210.40 per week later, for each 40-hour-a-week employee, or $10,524.80 per year now and $10,940.80 per year effective Aug. 1, 2007. With this type of contribution rate per employee the sad fact of it is that the numbers APWA throws around should actually be a low ball figure. </p><p></p><p>Ups has been delivering money by the truckloads to Teamsters-sponsored funds for half a century. The 2005 Annual Financial Report of UPS (see Note 5, Employee Benefit Plans) says UPS has contributed $1.289, $1.163, and $1.066 billion during 2005, 2004, and 2003, respectively. With these contributions you would think each retiree would be able to build their own palace upon retirement.</p><p></p><p>UPS, the Teamsters, and the members could insist that the pension fund trustees change their many policies to better suit UPS employees (and other employees as well.) </p><p></p><p>The inability of UPS to hire and keep people means a revolving door policy that, in effect, keeps the lower ranks of the employment roster non-union and temporary. Many people are hired just during free periods to cover vacations or during Peak. Some are hired knowing they are just here until they graduate. Yet our pensions continue to struggle despite this extra money being paid into them. What could the administrators possibly be doing to mismanage these generous donations?</p><p></p><p>UPS spent all those years in the same plan as it's competitors and often warned of the dangers of these plans prior to 97.Why didn't we listen?</p><p></p><p>why did the teamsters not listen in 07 instead of providing us with a poorly crafted campaign of misinformation that was bound to fail. Why has UPS been the only one to loudly speak up against the dangers of multi-employer plans. Why couldn't our teamster leadership recognize the dangers of these plans and at least agree that something needed to be done?Instead only UPS spoke up. Only UPS risked a strike in 97. And here again it's UPS leading the charge 10 years later when they should tell us tough **** after the way we responded in 97. </p><p></p><p>Jon</p></blockquote><p></p>
[QUOTE="JonFrum, post: 227732"] So where has all the money gone? The Trustees lost some of it in the market. 1. Trustees lost a portion of it in the market downturn of 2000-2002. This loss effects each pension plan differently, depending on exactly how much money the plan had invested at the time, and how long they stayed invested as the market continued to fall. This sort of loss, unfortunately, can strike any plan, single-employer or multi-employer, as well as any other investment, like say, your own personal IRA and 401(k). Indeed, the Central States plan, which we hear so much about because it is so big and did so poorly, has been under the watchful eye of the federal government and a judge since 1982 as a result of a consent decree, and has been professionally invested by leading Wall Street firms. Go Figure. (You don't hear as much about the Western Conference fund, for example, which is even larger, actually made money during the downturn, and is (nearly?) 100% funded.) The current upturn in the stock market should be improving the viability of all funds but yet for some reason CS continues to struggle. 2. The money contributed to the various pension funds by UPS is the result of the collective bargaining process. Teamsters negotiators and UPS negotiators, agree on an amount of money to be contributed on behalf of each bargaining unit member for each hour of work he/she performs. Here in New England, this includes part-timers and full-timers alike. Every paid hour counts: sick days, holidays, vacation days etc., (even overtime) but never more than 40 hours per week total. This is spelled out in Article 69 of the New England Supplement. The hourly contribution rate currently is $5.06 and is scheduled to increase 20 cents per hour on 8-1-07 to $5.26. That's $202.40 per week currently, and then $210.40 per week later, for each 40-hour-a-week employee, or $10,524.80 per year now and $10,940.80 per year effective Aug. 1, 2007. With this type of contribution rate per employee the sad fact of it is that the numbers APWA throws around should actually be a low ball figure. Ups has been delivering money by the truckloads to Teamsters-sponsored funds for half a century. The 2005 Annual Financial Report of UPS (see Note 5, Employee Benefit Plans) says UPS has contributed $1.289, $1.163, and $1.066 billion during 2005, 2004, and 2003, respectively. With these contributions you would think each retiree would be able to build their own palace upon retirement. UPS, the Teamsters, and the members could insist that the pension fund trustees change their many policies to better suit UPS employees (and other employees as well.) The inability of UPS to hire and keep people means a revolving door policy that, in effect, keeps the lower ranks of the employment roster non-union and temporary. Many people are hired just during free periods to cover vacations or during Peak. Some are hired knowing they are just here until they graduate. Yet our pensions continue to struggle despite this extra money being paid into them. What could the administrators possibly be doing to mismanage these generous donations? UPS spent all those years in the same plan as it's competitors and often warned of the dangers of these plans prior to 97.Why didn't we listen? why did the teamsters not listen in 07 instead of providing us with a poorly crafted campaign of misinformation that was bound to fail. Why has UPS been the only one to loudly speak up against the dangers of multi-employer plans. Why couldn't our teamster leadership recognize the dangers of these plans and at least agree that something needed to be done?Instead only UPS spoke up. Only UPS risked a strike in 97. And here again it's UPS leading the charge 10 years later when they should tell us tough **** after the way we responded in 97. Jon [/QUOTE]
Insert quotes…
Verification
Post reply
Home
Forums
Brown Cafe UPS Forum
UPS Union Issues
Jonfrum
Top