UPS Health Benefits Shock for Retired Union Employees

[Ms.PacMan]

Incapacitated Children​

A child who becomes incapacitated before age 19 (or before age 25, if a full-time student) is eligible to continue certain coverages........ This continuing coverage is available as long as the child becomes incapacitated while covered by the Plan, is unmarried and depends primarily on you for support and maintenance. There is more regarding documentation with the plan administrator.​

 

[Ms.PacMan]

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Coverage ends when you become eligible for Medicare (except as a result of a disability). If you divorce or become legally separated, your spouse’s health care coverage may be continued under COBRA provisions. If your children reach the age limit or are

otherwise no longer eligible for coverage from your Plan, their health care coverage may be continued under COBRA provisions.

For disabled individuals entitled to Medicare as a result of a disability, the Plan will continue to provide coverage, supplemental to Medicare (i.e., Medicare is primary), until the normal coverage end date.​

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[Ms.PacMan]

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If you die......Your eligible spouse and dependents continue coverage for as long as they remain eligible and make required payments.

 

[Ms.PacMan]

..........$50 per month contribution for their medical coverage. This contribution covers the retired employee, spouse and any eligible dependent children.​

The average annual cost per participant is defined as the total claims paid by the Plan in a calendar year, divided by the total number of Plan participants during that year. Each retired employee, each spouse, and each eligible dependent would be considered a Plan participant.​

If the average annual cost per participant exceeds $6,250, each retired employee will share equally in the cost above the $6,250 maximum by making an additional contribution.

The $6,250 maximum cost per participant is subject to future negotiations. If required, the additional contributions would not be implemented until after the expiration of the current collective bargaining agreement.​

 

[Ms.PacMan]

There are also sections on electing COBRA and ERISA.

I can't imagine how this will play out. This is definitely a greater expense for some because the pension amounts/mo. are much lower.

 

[oldupsman]

Coverage ends when you become eligible for Medicare (except as a result of a disability). If you divorce or become legally separated, your spouse’s health care coverage may be continued under COBRA provisions. If your children reach the age limit or are

otherwise no longer eligible for coverage from your Plan, their health care coverage may be continued under COBRA provisions.

For disabled individuals entitled to Medicare as a result of a disability, the Plan will continue to provide coverage, supplemental to Medicare (i.e., Medicare is primary), until the normal coverage end date.​

So according to this even if they raise the Medicare age to 67 we would still be covered. It simply says coverage ends when you become eligible for
Medicare. Doesn't mention an age. Am I reading that right?

 

[Catatonic]

So according to this even if they raise the Medicare age to 67 we would still be covered. It simply says coverage ends when you become eligible for
Medicare. Doesn't mention an age. Am I reading that right?

Good question ... really good!

I don't think there is an answer to that.
If that scenario occurs, this will be decided in the courts since the HC funds certainly not funded for this.
Most likely, Medicare changes will be phased in so that people less than 55 will not be affected.
All that I just posted is conjecture.

 

[Ms.PacMan]

You become eligible for Medicare at the beginning of the month in which you reach age 65 unless your birthday falls on the first day of the month, in which case you’re eligible for Medicare at the beginning of the month prior to your birthday.

I'm sorry - I was trying to paraphrase to keep the site and myself out of hot water.

This retiree section is in the UPS Health and Welfare packet or can be found on upsers if it applies to your local. Anyone interested and wanting a copy can pm me their email and I will send you the full version pdf.

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[tae111]

I guess the thing that bothers me most is my wife saw this first and she was pretty upset. The people who made the decision to send this out know full well that this is not a done deal yet. It will be decided in the 2013 contract. It just shows the character of the people running UPS these days. The people who recieved this letter gave their entire working lives to UPS. Many had over 30 years and some over 40 years of service. They were a big part in making a small delivery company into the largest most profitable trucking company on the face of the earth. The purpose of sending this letter out now is a ploy by UPS to cause friction and it will. Retirees have no voting rights in the new contract so it's like attacking someone that can't fight back to see what their friends will do. Kind of like walking up to a blind person and punching them on the face. I am not debating weather we deserve these benefits or not. Thats up to the negotiating committees for the 2013 contract. I am also not some disgruntled ex employee. I spent 36 years full time with UPS. I have been a Shop Steward in both Package and Feeders and was on the negotiating committee for the last contract. I was a Circle of Honor driver with over 30 years of safe driving. I can't even remember the last time I got a warning letter. Maybe one or two when I was a young employee. I was a captian for KORE (remember that?) and United Way. I always believed in doing my job to the best of my ability. I am not looking for a thank you for any of it (good thing since I didn't get one) . The only thing I ask is for you to enjoy the job I helped to make for you and stop trying to hurt me in my retirement.

 

[The Milkman]

I guess the thing that bothers me most is my wife saw this first and she was pretty upset. The people who made the decision to send this out know full well that this is not a done deal yet. It will be decided in the 2013 contract. It just shows the character of the people running UPS these days. The people who recieved this letter gave their entire working lives to UPS. Many had over 30 years and some over 40 years of service. They were a big part in making a small delivery company into the largest most profitable trucking company on the face of the earth. The purpose of sending this letter out now is a ploy by UPS to cause friction and it will. Retirees have no voting rights in the new contract so it's like attacking someone that can't fight back to see what their friends will do. Kind of like walking up to a blind person and punching them on the face. I am not debating weather we deserve these benefits or not. Thats up to the negotiating committees for the 2013 contract. I am also not some disgruntled ex employee. I spent 36 years full time with UPS. I have been a Shop Steward in both Package and Feeders and was on the negotiating committee for the last contract. I was a Circle of Honor driver with over 30 years of safe driving. I can't even remember the last time I got a warning letter. Maybe one or two when I was a young employee. I was a captian for KORE (remember that?) and United Way. I always believed in doing my job to the best of my ability. I am not looking for a thank you for any of it (good thing since I didn't get one) . The only thing I ask is for you to enjoy the job I helped to make for you and stop trying to hurt me in my retirement.

 

[moreluck]

Since this is only for union employees.......why isn't it under the Union forum??

 

[The Milkman]

Since this is only for union employees.......why isn't it under the Union forum??

I would think everyone should view this here as everyone including yourself will be affected somewhere down the road by things being done today, That Affect ALL of us.......Including all of us Retirees.....

 

[moreluck]

"for retired union employees" is the last 4 words of the title of this thread..........

I am not this.

I agree everyone will be affected by this health stuff (thanks, obama), but qualifying by titling retired union employees covers a very small number of people compared to the number of people to be affected by rising health costs. Something like the national figure of 11.8% of workers are union...........yet ALL people will be affected.

To be under the UPS Discussions,maybe your title should be..."UPS Health Benefits Shock"

Being too specific cuts people out !!

 

[The Milkman]

"for retired union employees" is the last 4 words of the title of this thread..........

I am not this.

I agree everyone will be affected by this health stuff (thanks, obama), but qualifying by titling retired union employees covers a very small number of people compared to the number of people to be affected by rising health costs. Something like the national figure of 11.8% of workers are union...........yet ALL people will be affected.

To be under the UPS Discussions,maybe your title should be..."UPS Health Benefits Shock"

Being too specific cuts people out !!

With that being said....The current Union members will hopefully help those that have paved the way for UPS where it is today.. Your actions will help us all...We have no say...We can just hope and pray that The UNION will prevail with this issue for all if us..I started this thread like THAT but they mergered it into this thread and added For Retired Union Employees...

 

[Ms.PacMan]

"for retired union employees" is the last 4 words of the title of this thread..........

I am not this.

I agree everyone will be affected by this health stuff (thanks, obama), but qualifying by titling retired union employees covers a very small number of people compared to the number of people to be affected by rising health costs. Something like the national figure of 11.8% of workers are union...........yet ALL people will be affected.

To be under the UPS Discussions,maybe your title should be..."UPS Health Benefits Shock"

Being too specific cuts people out !!

This has nothing to do with Obamacare or politics.

UPS tried to raise the rates for retirees, in the exact same manner, in local 705 in 2008 (when Bush was president). I linked to it in post #85. This has everything to do with the ruling (after 705 sued UPS) that stated the only way for UPS to legally raise insurance premiums for retirees was to raise premiums for all IBT members across the board and only when the contract had expired.

http://pupsinc.homestead.com/UPS-loses-705-retirees-win.pdf

http://pupsinc.homestead.com/705-retirees-vs-UPS.pdf

 

[UpstateNYUPSer(Ret)]

So according to this even if they raise the Medicare age to 67 we would still be covered. It simply says coverage ends when you become eligible for Medicare. Doesn't mention an age. Am I reading that right?

Yes.

 

[Ms.PacMan]

Yes.

No - the document does state 65.

 

[UpstateNYUPSer(Ret)]

No - the document does state 65.

As Hoke mentioned, any changes to the eligibility age would have to take in to consideration those within a certain number years of turning 65. If not, retirees would have to fend themselves for 2 years, which would be disastrous.

 

[TechGrrl]

With that being said....The current Union members will hopefully help those that have paved the way for UPS where it is today.. Your actions will help us all...We have no say...We can just hope and pray that The UNION will prevail with this issue for all if us..I started this thread like THAT but they mergered it into this thread and added For Retired Union Employees...

The rising cost of health care is an issue for everyone, union, non-union, management, everyone. In 2012, according to an annual survey by the Kaiser Family Foundation, premiums for employer-sponsored health insurance averaged $5,615 a year for single coverage and $15,745 for family coverage. The employee’s share of the premium averaged $951 for individual coverage and more than four times as much, $4,316, for family coverage.

The main reason this is an issue for Teamsters is because the contract is up in 2013. UPS will have a pot of money they are willing to bargain with. That money will be split between wages, pensions, and health care. The Teamsters need to figure out how they want that money split between those three categories. And how they will protect their retirees.

Me, I'm subject to the whims of the beancounters until I can sign up for Medicare.

 

[Catatonic]

I guess the thing that bothers me most is my wife saw this first and she was pretty upset. The people who made the decision to send this out know full well that this is not a done deal yet. It will be decided in the 2013 contract. It just shows the character of the people running UPS these days. The people who recieved this letter gave their entire working lives to UPS. Many had over 30 years and some over 40 years of service. They were a big part in making a small delivery company into the largest most profitable trucking company on the face of the earth. The purpose of sending this letter out now is a ploy by UPS to cause friction and it will. Retirees have no voting rights in the new contract so it's like attacking someone that can't fight back to see what their friends will do. Kind of like walking up to a blind person and punching them on the face. I am not debating weather we deserve these benefits or not. Thats up to the negotiating committees for the 2013 contract. I am also not some disgruntled ex employee. I spent 36 years full time with UPS. I have been a Shop Steward in both Package and Feeders and was on the negotiating committee for the last contract. I was a Circle of Honor driver with over 30 years of safe driving. I can't even remember the last time I got a warning letter. Maybe one or two when I was a young employee. I was a captian for KORE (remember that?) and United Way. I always believed in doing my job to the best of my ability. I am not looking for a thank you for any of it (good thing since I didn't get one) . The only thing I ask is for you to enjoy the job I helped to make for you and stop trying to hurt me in my retirement.

I agree with your general gist on this post but I do feel compelled to ask you when you would have liked to find out about this:
1) Now before the financial aspects of the contract are negotiated and everyone affected has the ability to "pressure" the Union negotiators and voting Union members?
2) After the contract is negotiated and approved?
3) August 1, 2013?

My thoughts when I first saw this is that UPS was trying to make sure this is known during the early stages of negotiations.
From what I have observed, UPS really does feel a responsibility for the retirees and longer tenured employees and tries to be fair in meeting implied and assumed benefits.

TechGirl's post #159 hits on this as well and her post is very much on target.