REFORM PLAN FOR Central States Pension Plan

[Sportello]

You are not UPS, you are proud Teamsters!

That is a management view. Every one of the UPS retirees I know identify more closely with UPS a than with the Teamsters, and not a one is all that proud.

 

[Catatonic]

That is a management view. Every one of the UPS retirees I know identify more closely with UPS a than with the Teamsters, and not a one is all that proud.

You Sir, are a proud American!

 

[tourists24]

Ole Bernie seems the least dishonest of the candidates.

Well that's not saying much

 

[Catatonic]

Well that's not saying much

I agree you gay rebel.

 

[bacha29]

Badly underfunded npension plans are a national crisis and is growing every day. It is why the Commonwealth of Pennsylvania still has not passed a budget despite now more than 3 months passed the deadline. The annual state budget is about 31 billion but the pension plan is 50 billion underfunded. The Republicans want to go over to a defined contribution plan while the Democrats want to retain the current defined benefit plan pointing to the fact that state employees paid in their required amounts through payroll deductions but the state failed to pay in it's share. This matter and the CSP are the opening salvos in a long national battle over what to do and who's going to come away the worst for it.

 

[Sportello]

You Sir, are a proud American!

American by birth. Pride doesn't factor in at all.

 

[Catatonic]

American by birth. Pride doesn't factor in at all.

It was tongue in cheek anyway ... most liberals hate America anyway.

 

[bacha29]

I'm Not A Robot hit on a key provision that allowed pension plans to cut benefits to stay afloat. If you guys remember back in 2008 during the Great Recession many large airlines filed for bankruptcy trashed their pension plans and dumped the mess onto the Pension Benefit Guaranty Corporation. As a result it's now badly underfunded and I believe that the possibility of it going under which as you guys know is the payer of the last resort is what compelled Congress to act to get the pressure off the PBGC. The general political consenus is that after imigration reform pension reform will be next on the domestic agenda . The question is who will be the one to have to pay up. Here's a hint. The problem with 401k's is that in too many cases the employer is not contributing anything.

 

[oldupsman]

I'm Not A Robot hit on a key provision that allowed pension plans to cut benefits to stay afloat. If you guys remember back in 2008 during the Great Recession many large airlines filed for bankruptcy trashed their pension plans and dumped the mess onto the Pension Benefit Guaranty Corporation. As a result it's now badly underfunded and I believe that the possibility of it going under which as you guys know is the payer of the last resort is what compelled Congress to act to get the pressure off the PBGC. The general political consenus is that after imigration reform pension reform will be next on the domestic agenda . The question is who will be the one to have to pay up. Here's a hint. The problem with 401k's is that in too many cases the employer is not contributing anything.

I guess the basic question is, does an employer have a obligation to fund an employee's retirement?
It never bothered me that UPS didn't contribute or match my IRA. As far as I'm concerned that was my
resposibility, not the company's.

 

[WhatsUP]

The UPS retirees under the old plan got screwed because Central States did not
Honor 25 and 30 and out . You had to be at the normal retirement age to get less of a cut.... UPS workers under the new plan ,benefits are paid by UPS from when you retire to when you hit normal retirement age. They will pay both Central States portion and your time under the new plan .
You will get one check , then at 65 you will get 2 checks . One from central states and one from the new UPS plan.

 

[oldngray]

The UPS retirees under the old plan got screwed because Central States did not
Honor 25 and 30 and out . You had to be at the normal retirement to get less of a cut.... UPS workers under the new plan benefits are paid from when you retire to when you hit normal retirement
Age. You will get one check then at 65 you will get 2 checks . One from central states and one from the new UPS plan.

Not exactly. If you worked part time you will get 2 checks if you retire before 65. Both from UPS but one will be for part time years and the other will include Central States plus the portion after UPS took over the pension plan in 2008.

 

[WhatsUP]

That's correct both full time and part time . The key age of 65 is important that's why UPS pays both portions of central states and your benefits under new plan to prevent your central states portion from being
Reduced further because you retired before normal retirement age. It will be as if you retired at 65 from central states therefore
you take a less of a reduction. Which UPS covers so far.

 

[oldngray]

That's correct both full time and part time . The key age of 65 is important that's why UPS pays both portions of central states and your benefits under new plan to prevent your portion from being
Reduced further because you retired before normal retirement age

Sorry but no. I get 2 checks before 65. My pension was not reduced due to age because I took a years of service pension.

 

[WhatsUP]

Ok I guess I was wrong .. So your getting 2 checks now.? I though you would be getting one check now from UPS which covers both your central states portion and UPS portion until your 65 and then you get 2 checks

 

[Brownslave688]

Talked to a Yellow Freight retiree today.
He went from $3000 TO $1400 a month.
He said he will be OK when Soc Sec starts next year.
He completely blamed Ron Carey and the Teamsters for paying out too much with the number of pay-in's reducing and the number of retirees increasing.

Bingo this is what happened. Previous employees were over promised on their benefits.


There simply wasn't enough money put in on their behalf for THEIR benefits.

 

[Fullhouse]

My check went from $2800 to $1450 a month. Here I am 72 with heart problems an a colostomy bag. No way I can make up that money. Well I guess Barry's plan to wipe out the middle class is happening. I sure though UPS would back us old drivers. I felt that I paid all along for my pension.

Would consider you "disabled" with that condition. Hence you should not suffer a reduction according to the letter!

 

[Ms.PacMan]

Your point is correct. It would even be correct if you added the those 'Brothers' that voted for it, and UPS for selling out the what, 35000-40000 retired UPS full timers in the CSPF?

UPS offered the apple, the Teamsters and rank and file gladly ate it.

The pension was deferred compensation, the loss of which should be treated as such.

Not exactly. Central Region voted down the contract in large enough numbers to require a second vote, remember? It was only after the Teamsters decided not to include Louisville in the second count that it passed.

 

[reydluap]

I have read so many of these CSPF post that has misinformation I just have to post. I will state how the current UPS contract reads and how the CSPF letter effects our benefits.

There are so many people that think this Central States pension payment buy out of billions of dollars funded our pension payments FOR LIFE. This is so misleading. It does NOT. The UPS Pension buy out (Employees working after Jan 2007) only guarantees the premium full pension that we will receive until normal retirement age (age 65).

Here are the FACTS that support my statement:

A. In the Master UPS Contract book, Teamsters Central Region Supplement, page 216. Article 14, paragraph 2. It states what "Normal Retirement Age" (Age 65) is. This sets up the next Article to help explain it's content.

B. Same contract, same supplement, same article, page 218 and 219. It states UPS/IBT will recognize full time service in the CS Plan for determining eligibility for the benefits in this section and will offset at Normal Retirement Age the benefits accrued from the CS Plan commencing at Normal Retirement Age. If the benefit paid from the CS Plan is reduced as permitted or required by law, the amount of such reduction shall not be included in this offset.
(Folks this is what is written in our contract book, our supplemental that was voted in. Still not convinced.........read on)

I just had to find out for myself if what I read was true and here is what I did. I challenge ANY ACTIVE UPS EMPLOYEE to do this. Log onto UPSers.com. Go to the "My Life and Career" page (paycheck viewing page), Look at the "MY MONEY" column, Click onto "Retirement and Savings". Log into this page. It lets you calculate YOUR pension for years to come. Now, put in any end of work day and start pension payments date. You can run 3 calculations on a page. Example: your last day of work is October 31, 2015 and you want your pension to start paying November 1st, 2015. See the results? Now use the SAME said month and days, ONLY CHANGE THE YEARS one year at a time until you calculate your pension until the age of 70.

By doing this, you will see the UPS guaranteed pension pays you in full what they promised until age 65. But at age 65 (Normal Retirement Age) you now have two columns with a UPS amount that you will receive, and the CS Pension amount (this is the amount that's to be cut that was given to you in this latest CSPF letter). Now, you will see that from age 65 until age 70, the UPS paid portion of the pension continues to increase..........but the CS Pension payout stays the same (in which has been cut to the new stated amount from said CSPF letter.)

NO, I'm not saying work till age 70. I'm only using the pension estimator to demonstrate what the contract is stating in writing. So,we active employees are screwed too! Only we get to wait a little longer for the shaft. At least UPS workers can adjust their lifestyles a bit to get ready for their futures.

 

[Sportello]

Not exactly. Central Region voted down the contract in large enough numbers to require a second vote, remember? It was only after the Teamsters decided not to include Louisville in the second count that it passed.

That may well be, I really don't know. I retired well before that. See post #16.

Was the reason it was voted down a pension issue? I'd love to know.

 

[reydluap]

And to add to my previous post. If you truly believe the all mighty UPS Pension plan is going to pay out full benefits for the rest of your life, then WHY did CSPF even need to mail out their pension cut letter to active UPS employees? And if UPS employees are so protected, then why would you need to worry about some payout reduction amount? Another thing to think about, this is in the Central States Supplemental, how many years down the road do you think it will be that this to will be thrown out. All UPS has to do is offer a $1000 bonus to part time employees and offer some type of 401k type plan and our butts are forgotten about.

I'm still waiting to see all of those 22.3 jobs that were to be provided. Think about it folks! UPS is in business to make money for investors, not worry about retirees. These employees hired after Jan 1, 2007 don't give a dang about a broke CSPF Plan and will sell retirees out in a minute.

I don't like it either but the truth hurts. These young employees only worry about you retiring so the can move up to a bid route. That's the facts.