UPS/IBT PENSION SLASHED?

[35years]

I visited the retirement calculator.

Funny thing happened when I ran the calculator...

Year Svc Credit MthlyAmt Accrual
2016 1.00000 170.00 170.00
2017 1.00000 170.00 170.00
2018 1.00000 175.00 175.00
2019 0.58333 175.00 102.08
2020 0.58333 175.00 102.08
2021 0.58333 175.00 102.08
2022 0.58333 175.00 102.08
2023 0.58333 175.00 102.08

Why does the Svc Credit no longer equal 1.0 starting in 2019?
Do we only get partial (58%) (7 months each year) credit towards our pension under the new agreement?

Running the same calculator prior to the new tentative agreement showed a service credit of 1.0 for every past and future year...$175 Accrual 2019-2023

Now it shows .58333 credit for a $102.08 Accrual

Are we only going to get 7 months of credit for working 12 months under the new contract???????????

This is for an accrual pension IBT/UPS (old Central States replacement)

If so, I lose $365 a month, $4380 a year for the rest of my life.

Guys who retire later than 2023 would lose even more.

 

[MarvelousMunata]

Huh....

 

[35years]

Either the UPS/IBT site is wrong, or the accrual pension is now reduced under the new agreement to 7 months of pension credit for each year worked after 2018.


Remember this is only for...
1 The IBT/UPS pension
2 Accrual based pension ( not the service 20,25,30 or 35 and out pension)

This pension is calculated in 2 ways, you get the larger of the 2 ways it is calculated (service or accrual).

 

[DELACROIX]

You might want to give them a call...Both your local and the IBT/UPS representatives..

Get answers and get it written...

 

[BigUnionGuy]

Either the UPS/IBT site is wrong, or the accrual pension is now reduced under the new agreement to 7 months of pension credit for each year worked after 2018.

My guess is the pension calculator is wrong....


"There shall be no reduction or change in the level of benefits described herein unless negotiated and agreed to by the Union."


Monthly Benefit:

January 1, 2019 $175.00

January 1, 2020 $175.00

January 1, 2021 $175.00

January 1, 2022 $175.00

January 1, 2023 $175.00