Christmas Gift from work

05SilverTRD

05SilverTRD

New member
I got in to work yesterday not knowing that I was going to get an early gift from work. I found out that they are going to take away the retirement pensions from the management employees. I happen to be one of the 50,000 that are affected by this. So now, I am working strictly for a paycheck, I will not recieve a pension from this company when I retire. And then to top it off, they will not pay any part of my medical, dental, or life insurance when I retire. That really brightened my day and put me in the Christmas spirit. I feel like Clark W. Griswold in Christams Vacation when he found out that he was not getting his bonus, instead he got a subscription to the Jelly of the Month Club. Sorry, just thought I would vent a little.
 
Do you have a cousin named Eddy, that might help things a bit. Seiously though, sorry to hear it man. I hate the cost-cutting that's going on in corporate america right now. It doesn't affect me right now (too young) but I'm seriously concerned about what it's going to be like by the time I'm part of the workforce. Best of luck to you.
 
Thanks. I am only 30 right now, but any hope that I had for pension is gone. At least they are not taking away what we have already accumulated, they are just not going to contribute anymore. So I have to figure out my retirement on my own.
 
greys60:
A bummer, but not necessarily the end of the world when you are only 30 years old. You still have time to develop a retirement plan of your own. My working days didn't include a pension or medical coverage after retirement, but I'm still eating regularly.
It takes some discipline, but the important thing is to start and keep doing it. Once we learned how to live on my paycheck, the next raise went into savings. We tried to do that with all of the raises, but it just didn't work. Even then, we tried to set aside at least 1/2 of that raise. That we could usually manage.
The first several years, you feel like you are definitely swimming upstream, but after a few years, you start to see some growth that helps you continue. Believe me, it's worth it.

joyriide1113:
I agree with what you are saying 100%. (I'm retired:))
The reality of it is that many people struggle to make ends meet while they are working and have absolutely no chance for a comfortable or even liveable retirement.
My wife worked for many years where she was dealing with the homeless and indigent and saw a lot of sad situations.
Yeah, some were bums, but there were others that worked 70 to 80 hours a week at three different jobs for minimum wage. Their employers didn't have to pay them benefits because of the limited hours. No health insurance, no benefits of any kind.
Unfortunately, it is all too common.
FWIW, I have been broke and I have had money. Having money is much better. :)

Charles
 
i'm sorry to hear this, i beleive once the airlines were able to take tke employee's pension that open the door for other company's to follow.
 
Grey,
I'm sorry to hear the news, but in the 20 plus years I've been working in this country, I've only had one employer who contributed to my retirement account :(
Yes, it's a "lousy deal", but at least you're still receiving a paycheque - there are many who aren't through no fault of their own!
As Charles says, the onus is on you to make your working dollar stretch far enough to include a little for that "rainy day". And I know that, contrary to the song, it DOES rain in southern California!! ;)
Norah

PS - Charles - I'm glad to see that your back is feeling better this morning :)
 
greyS60:

Verizon huh?

I heard they hope to save 3 billion over the next 10 years. 'Course they made what, 1.9 billion in the third quarter alone? First time a company not in dire financial straits has done this. I don't think it bodes well for the American workers counting on an employer contributed pension. If successful, other large employers might decide to follow suit.

My condolences...
 
I too am sorry to hear of your situation, but as others have stated you still are young enough where even though this will have an impact, it won't hurt as much if you were say 55.
Many times bad news is doled out at this time of year, probably due to it approaching the end of the fiscal year for many companies. The bright side is that you are still employed. My wife was laid off 2 years ago and her last day was the Friday before Christmas week, (now that was Happy Holidays).

So as bad as it seems, it could be worse.

"J"
 
CharlesW said:
FWIW, I have been broke and I have had money. Having money is much better. :)
Click to expand...

Money is definately not everything, but it doesn't stink.

If your company offers a 401(k) in which they match your contributions, take advantage of it. It's the closest thing there is to a free lunch. It's a good way to build a retirement savings. Do it now, while you still have time.
 
It's in areas like this that the Japanese kick our butts. Granted, there are a lot of bennies we get that they don't (while working), but their companies are geared in a "circle of life" to steal a line from the Lion King. The employees bust their butts for the good of 'The Company,' and in turn 'The Company' is involved in providing for the employees in one way or another, whether it's company owned stores where employees pay lower prices, or housing, health etc. Over there, "The Company" hasn't lost sight of the fact that in order to be successful, the needs of the employees must be met, and it's done in such a way that most of the money the employee does spend is recirculated BACK to the company. So in reality, the company still makes a nice profit while at the same time helping to take care of their workers.

One of the closest things we have to that around here is General Motors. UNFORTUNATELY, they don't have the "recirculation" aspect that the Japanese do, so most of the money they pay out to the retirees etc is lost (as far as GM is concerned). Now if GM would start buying grocery stores, GM owned medical facilities, clothing stores, rec centers etc, etc that were available to the employees and non employees (employees getting substantial discounts) then much of the money they are losing will be recirculated BACK TO THEM plus adding additional capitol to them from the non-employee customers, cutting their losses and maybe keeping them out of bankruptcy.
 
Good post Don, and to add a little bit to it, GM has $1,500 built into the price of every car they sell which is used to pay people already retired, and claim that is the major factor for their trouble. It's been obvious for awhile now that they will file a Chapter 11, and come back to the game with little or no pension plan. I heard a statistic recently that amazed me. It was stated that when GM was having their peak years 55 percent of the nations work force was in a union. Today that figure is 8 percent. If that's true, it's food for thought.

The scary part of this scenario is when a man/woman works for a company their whole adult life, retires with pension and medical benefits only to be told well into their retirement that their benefits and being substantially cut or eliminated completely. Unfortunately this is already happening, and it's not going to get any better.

Charles said it's up to the individual to plan their own retirement, and that's going to be the way of the future (now). I wonder if ANYONE working for the Federal Government is concerned about losing any of their pension or retirement benefits? I don't think so!!!
 
Coastal Eddie said:
Good post Don, and to add a little bit to it, GM has $1,500 built into the price of every car they sell which is used to pay people already retired,
Click to expand...

I heard it's more like $2,000. Besides, if they followed the Japanese way, they could (in theory :wink: ) lower the price of the cars since they would be making the money for the retirees from the other sources, thus making their cars MORE attractive to buyers, therefore increasing sales which raises their profits more, more people can be hired to increase production/quality, which lowers unemployment etc, etc.... so how the "circle of life" can be used as a huge benefit to all?

The only thing the worker has to worry about is doing his/her job to the best of their ability.
 
greys60, Yeah, nice Xmas present. I am told that my organization is already planning RIF's, we are to lose about 12 people. For those that don't know that term, it means a "reduction in force" other words - forced retirement or layoff off of employees. We're told its necessary due to the MCI merger, Well greys60, I bet IVAN gets a nice Xmas bonus.

Take it easy
 
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