Also, for non union a while ago, not sure exactly when they did it, the company altered the HW benefit at retirement to stay pretty much the same for people who are retired and pretty close to retirement. For people like me who have way too many years to go, we will get less of a benefit. The story that was told to us, is that we younger guys have the advantage of a 401K with company match that the older guys didn't have. The idea of pension plans is slowly dying (unfortunately). Everyone will have to rely on themselves to save for their own retirement. Can you imagine people who retired from some of the airline pension plans thinking they were going to get huge pensions for life find out that the pension is now capped. Gulp, that would definitely alter your whole retirement.
Give you a little light on this subject, Jax, presuming you are in the central states area and a part timer, thus you are covered with the company UPS Pension plan. To find your pension payout look into the Master lanuage in your contract book, easy formula 55 per credit year when you reach the required years of service or retirement age, example 30 years, any age 1650 per month. In the West, Upper New york, New England pension plans from my understandng the part timers are covered with the teamsters' plans. The monetary formula per week for these part timers would probadly be paid under Article 34, master, same as a full time employee. Because all part timers in the central states area are covered under company benefits, the company just has to fund the plan to cover the negotiated benefit, several years ago during contract talks a news letter stated that of all the part timers whoever worked at UPS, only 79 were collecting from that pension at around 400 dollars per month. Just one of the reasons that the central states fund is in such a mess, could you imagine if the plan was collecting monetary contributions for every part timer who worked in the central states area. That folks is why the "97" strike happened, Carey saw the decline of participants in the teamsters' run funds, and more important the dwindling of monetary contributions caused by the high growth of the part time workforce and decline of the full time positions.
The UPS/Teamster 401k plan came into being around 1988, I joined shortly after that doing the 5 percent thing for most of those years, if I retire with 30 years I will be lucky to pay off my house, let alone collect any retirement funds from that investment. Most of us were totally caught off guard with the central states shortages, remember the word down from the international in "02" that the negotiated funds were enough to cover the promised pension benefits, that changed in a little more than a year with the reduction at the end of "03". Does anybody know how pension trusts are invested? The same as any 401k plan in stocks, bonds and mutuals, do the math why would a 401k plan be superior to any pension portfolio, you would have control instead of these investment professionals that these trusts hire that is all. You would still be subject to the ebbs and flow of the stock market.
The real reasons for this problem might not be totally on the choices of the leadership of teamsters. Corporations have been running amuck for many a years, that includes the Clinton administration. Been getting breaks and bleeding the individual rights of the working class. Problem is that we can get on a soapbox and complain till the cows come home, but we need solutions and nobody seems to be listening.