Management Buyout Rumors
- Thread starter BrownDaddy32
- Start date
pretzel_man
Well-Known Member
Anonymous,
I recall two buyouts in the past. The first in the mid 90's and the second last year. I was offered each.
I don't think these rumors are true, but if they were, I don't know what you are expecting.
Each buyout was a realtively small amount. They tried to help make up some of what is lost by leaving early. For instance, you may get your RSU's vested. You may get some amount to make up for some of the loss of pension. You may also get a small amount to hold you over (a few months pay).
Trust me, you won't get rich from the buyout if one existed.
So, you need to ask yourself what you want? I'm not a "like it or leave" kind of person, but if you absolutely hate your job what does a buyout really provide?
Best of luck,
P-Man
Sounds like you made the wrong career move, and are stuck in it unless you leave.. I tell people all the time to think long and hard about entering management, especially the part-time preloaders who are thinking about it because I see the management team and how miserable they are.. It is not how it used to be, i'd say 10 to 15 years ago it was good to work at UPS. If this makes me sound negative or disgruntled so be it..
A
Anonymous Grump
Guest
It's just a matter of time before they take money from management and then act like they're doing us a favor by vesting our RSUs in the process. From day one I figured that was the plan for the RSUs.
tieguy
Banned
N
NESW
Guest
....I heard that due to the loss of the two regions, settlement of the contract & the absolute need for the stock to start moving upward we must shed 15% of the management force......Look for a offering for the over 50 people of 2 weeks pay for each week, MIP for the current year and a monthly pension amount of 175 x years of service....Its long overdue to get the elders out thereby cutting costs & providing room for advancement for the rest of us......Scott Davis & the BOD must move us in a positive direction....as a public compant his & their job is to increase the stock owners value as seen in the stock price.....
A
All bets off
Guest
175 x years of service will net a better pension than a manager/sup would get with the current plan. 175 x 30 years = 5250. 175 x 25 years =4375. 175 x 20 years = 3500.
A manager/sup with 30 years at age 55 would be lucky to get 3500-4000 with the current plan.
Seems unlikey that a flat rate per year would be offered to all levels regardless of current pay.
Time will tell. Something is likely to be offered. After the offer, all bets are off. Take it or take to consequences; transfer, layoff, demotion, lower pay rate, etc.
IMO
A manager/sup with 30 years at age 55 would be lucky to get 3500-4000 with the current plan.
Seems unlikey that a flat rate per year would be offered to all levels regardless of current pay.
Time will tell. Something is likely to be offered. After the offer, all bets are off. Take it or take to consequences; transfer, layoff, demotion, lower pay rate, etc.
IMO
L
Load Stand
Guest
on the surface seems like good numbers, but what about retiree healthcare???
UPS Lifer
Well-Known Member
Ever since the first ERO and buyout - this has come up every year. I was 45 during the first one I will be 56 this year!!! There has been no other ERO or buyout since then for the Small Package segment of UPS.
I think that you will see some changes in the near future - the rumors about raising the retirement age to 57 have been around 3 years now. This leads me to believe that it was one of the options put on the table to reduce costs and is in the vault for the future....maybe this is the year it is pulled out.
When I was 53, I was really worried about the 57 number. I had prepared for 55 for over 32 years! I don't think I could have handled another 2 years.
I still feel that way for you guys that are in the same bracket now!
I have heard in the past, that future or additional EROs and buyouts cannot be more lucrative than the previous one. I heard that there is some sort of regulation that prohibits a company from making a more lucrative buyout than the previous one. I can't back this up though. Maybe there is a Finance guy out there that can give you more insight.
pretzel_man
Well-Known Member
Lifer:
There was an SVSO last year. The payment made up for pension loss. ERO, VSB, and SVSO are the only "buyouts" I'm aware of in my 30+ years.
Also, none of them were much more than replacing what was lost by leaving early.
P-Man
NESW,
I don't know where you got your info from, but there is no way that they are going to pay anybody to go away. In addition, the $175/mos x years of service for a pension is a significant increase in the pension from it's current state. You failed to show the cost savings to UPS with this rumor and I can assure you that without a cost savings to Big Brown, there ain't nothing happening. I have about 1 year to go and I could only hope you are right, but I think I'm smart enough to know that my pension isn't going to increase by 38% based on your unfounded formula.
People need to use caution when putting these formulas out without any substantial support as to where this comes from.
Remember the Big Fish Always Eats the Little Ones!!!
I don't know where you got your info from, but there is no way that they are going to pay anybody to go away. In addition, the $175/mos x years of service for a pension is a significant increase in the pension from it's current state. You failed to show the cost savings to UPS with this rumor and I can assure you that without a cost savings to Big Brown, there ain't nothing happening. I have about 1 year to go and I could only hope you are right, but I think I'm smart enough to know that my pension isn't going to increase by 38% based on your unfounded formula.
People need to use caution when putting these formulas out without any substantial support as to where this comes from.
Remember the Big Fish Always Eats the Little Ones!!!
hangin455
Well-Known Member
This thread was started 10-09-2006, 04:18 PM. Fifteen months later and speculation is still rampant.
I do think that the company needs to do something to boost the future management pension. The stock's not going to cover your old age like everyone expected it to. Every FT hourly in my District will have a better pension than Management. Considering the sacrifices that Management must make, the only way to attract any future supervisors is to do something drastic to enhance management retirement.
I do think that the company needs to do something to boost the future management pension. The stock's not going to cover your old age like everyone expected it to. Every FT hourly in my District will have a better pension than Management. Considering the sacrifices that Management must make, the only way to attract any future supervisors is to do something drastic to enhance management retirement.
