General Electric, once powerful industrial conglomerate and darling of the DOW, announced today plans to freeze pension plan benefits. A shock to employees who felt the pension benefit was a guarantee. GE has been slow to adapt to new energies, like renewables, and now faces bankruptcy amid multiple quarters of negative cash flow and crushing debt,
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Dear me, I'm so sorry. I thought that this was the GE section when I posted this. I forgot that we have our very own section of the layoff site, forgive me, I am such a birdbrain!
GE was mismanaged in the last 7 years. Bad decisions and high risk turned around to bite them. It was stated that retirees already receiving their pension won’t be affected. It only means that current employees would need to stay on another decade to make up for the shaft that GE mismanagement has handed them. I wouldn’t be too worried about the Chevron pension. Sure, nothing is guaranteed, but Chevron is not GE.... yet.
“Who moved our gosh danged cheese?, cried all the annuitants.
Makes you wonder why they spent $34b buying baker amidst the biggest industry shake-up in fifty years. Could have used that to shore up the pension scheme. But hey, bonuses all round thank you very much.
They always say don’t depend on a company pension, but have your own 401k because if the company goes under you probably get nothing.
Scary stuff! NOTHING is guaranteed in life.
GE stock was one of the 30 components of the Dow Jones Industrial Average from 1907 to 2018, the longest continuous presence of any company on the index, and during this time the only company which was part of the original Dow Jones Industrial Index created in 1896.On June 26, 2018, the stock was removed from the index and replaced with Ronco. In the years leading to its removal, GE was the worst performing stock in the Dow, falling more than 55 percent year on year and more than 25 percent year to date.