The New Contract And Future Pension Contributions: Are We Ok. Or Are We Robbing Peter To Pay Paul?

[Over70irregs]

Some people just don't get it

They will. The bells are clanging.

Retiring at 53 with a paltry 3K a month was the BEST thing I ever did. It gave me about 20 years to be healthy and be able to do ANYTHING I wanted to for those years. Now that I am 75 and every day it seems a new pain takes hold somewhere I count my lucky stars I retired when I did. You all can work until you're 90 if you want as far as I'm concerned but I can truly say I HAVE ENJOYED RETIREMENT.

The microphone has been dropped. I have never hear from a 20 plus guy before. Loving it….

 

[Trucker Clock]

Not that I'm a mathemetologist or anything, but if he's 75 now and retired at 53...how much was $3k in 2001?

Ran out of toes again. It's worth around $5400 today. More than what most get today, so not a bad chunk of change back then. And more than Central states could actually afford.

 

[Trucker Clock]

So did someone start at two years old? Wuh...

That should have said to retire after 30 years. Guess I didn't proof read it. Sorry.

 

[What'dyabringmetoday???]

That should have said to retire after 30 years. Guess I didn't proof read it. Sorry.

Lol.

 

[What'dyabringmetoday???]

I have my pension estimate I know exactly what the payout is

Amazing!

 

[Johney]

That was the start of the Central States demise, and the main reason for it. A pension that pays out more years than you actually worked.

No I believe the CS demise was the fact they were paying out more than they were taking in. Companies going out of business and not paying in their share yet retirees still getting pension payments.

 

[Trucker Clock]

paying out more than they were taking in

Yep. We got 30 and out at $3K in 1997. A figure that Central States could not really afford from what they were taking in, or what they took in for those that retired at the $3K.

Remember, a pension should never be based on current contributions to pay retirees. That is when a pension gets into trouble.

Companies going out of business and not paying in their share yet retirees still getting pension payments.

That was another part of it, along with subpar investment returns for one reason or another.

 

[Wally]

COLA isn't in my pension.
Defined is how I thought most were.

I was thinking of future retirees. Amount of monthly would have to slow or freeze.

 

[Wally]

No I believe the CS demise was the fact they were paying out more than they were taking in. Companies going out of business and not paying in their share yet retirees still getting pension payments.

Should be, if you're not paying in, you are out.

 

[BigUnionGuy]

That was another part of it, along with subpar investment returns for one reason or another.

What's really funny....

Are the people that blame the Teamsters, for the poor performance of the fund.

 

[Wally]

Okay everyone settle down

Well have a different opinion here but let's discuss this the way Cheryl would like for us to discuss it

 

[Wally]

We get $5,200

 

[DELACROIX]

Yep. We got 30 and out at $3K in 1997. A figure that Central States could not really afford from what they were taking in, or what they took in for those that retired at the $3K.

I still have a pamphlet dated around 1991 from the Central States trustees that indicated that they were concerned about not having enough active participants to cover their future retirees.

I believe they were paying a thousand or 1,500 a month for a 30 year pension in the mid nineties, just before the strike. That is one of the many reasons that Carey did not allow that Company’s offer of 100 dollars per service year up to 35 years and also 50 dollars per service year for everyone’s prior part time service. Carey ran on the promise to increase pension benefits primarily for those under the Central and Southern which were the largest.

I believe that once UPS upped the ante, the Central States trustees had to match those pension increases after the strike. That in turned causes more underfunding which caused those other Companies that were contributing to find an out, similar to what is happening with Yellow today.

It could be even back then the Company knew that the Central would not be be able to pay its pension obligations in the future by matching that Company’s pension proposal. They failed in “97” but got it done in 2008.

Remember, a pension should never be based on current contributions to pay retirees. That is when a pension gets into trouble.

Pension plans rely on investments and returns in order to maintain or grow, that is why those trustees in the West stated that they will be able to improve and increase their pension benefits without that 1.00 per hour additional contribution.

That was another part of it, along with subpar investment returns for one reason or another.

These guys are smart in the West, just look how well that fund is managed. They know that they will be able to improve their plan over the next 5 years. Their final retirement benefit will always be higher than any other pension out there, except maybe the one in the Washington DC area.

 

[DELACROIX]

That’s for their part timers…

 

[Trucker Clock]

I still have a pamphlet dated around 1991from the Central States trustees that indicated that they were concerned about not having enough active participants to cover their future retirees.

I believe they paying a thousand or 1,500 a month for a 30 year pension in the mid nineties, just before the strike. That is one of the many reasons that Carey did not allow that Company’s offer of 100 dollars per service year up to 35 years and also 50 dollars per service year for everyone’s prior part time service. Carey ran on the promise to increase pension benefits primarily for those under the Central and Southern which were the largest.

I believe that once UPS upped the ante, the Central States trustees had to match those pension increases after the strike. That in turned causes more underfunding which caused those other Companies that were contributing to find an out, similar to what is happening with Yellow today.

It could be even back then the Company knew that the Central would not be be able to pay its pension obligations in the future by matching that Company’s pension proposal. They failed in “97” but got it done in 2008.




Pension plans rely on investments and returns in order to maintain or grow, that is why those trustees in the West stated that they will be able to improve and increase their pension benefits without that 1.00 per hour additional contribution.




These guys are smart in the West, just look how well that fund is managed. They know that they will be able to improve their plan over the next 5 years. Their final retirement benefit will always be higher than any other pension out there, except maybe the one in the Washington DC area.

Can't argue, or disagree, with a word you said. You nailed it.

 

[Trucker Clock]

Retiring at 53 with a paltry 3K a month was the BEST thing I ever did. It gave me about 20 years to be healthy and be able to do ANYTHING I wanted to for those years. Now that I am 75 and every day it seems a new pain takes hold somewhere I count my lucky stars I retired when I did. You all can work until you're 90 if you want as far as I'm concerned but I can truly say I HAVE ENJOYED RETIREMENT.

And I have no issues with that, or you. The option was available to you and you took it. Hell, I probably would have also.

I'm glad you retired and never looked back. And again, not your fault. But that was the start of the demise of Central States.

 

[Wally]

That’s for their part timers…

Oh OK. I thought it seemed entirely too low a number.

 

[Johney]

Should be, if you're not paying in, you are out.

Well let’s see what happens with the old time Yellow freight guys.

 

[Johney]

The option was available to you and you took it. Hell, I probably would have also.

I rest my case.

 

[Thebrownblob]

Well let’s see what happens with the old time Yellow freight guys.

Technically, they’ve barely paid in since 2008