I heard the pension funding is in trouble, is this true?
13 replies (most recent on top)
I work for frontier and have a commencement date of 3-1-20 taking lump sum. Today Read bloomberg article and it said its filing chapter 11 like the middle of march 2020 . So if my commencement date is b4 filling chapter 11 can i loose lump Doecalled milliman to have new commencement date to feb 1st 2020 and he told me that it would take 2-4 weeks to get my paperwork. What a joke i have 2 weeks till feb 1st and i am very stressed anybody know about this .
CWA1298 Sold retirees down the river in Connecticut ,did not negotiate retiree health care in recently ratified contract. Check with your local president to see if he is going to sell out retirees in your local.
Does anyone know how all of this will apply to the C.W.A. 6171 contract in Texas?
Wait there is more.........Retiree Medical Bennies going away too in Florida....very sad
SAD, SAD, SAD...... Once word gets out to all the 25+ year vets, expect a mass exodus! Too much to risk for these older Cats 🐱! Expect a decent amount of techs leave January. Without any knowing of FTR’s filing date. The Vets will leave January😮
Maybe someone should also ask these clowns why the Pension Fund is buying Frontier
real estate in certain states and then leasing back to Frontier? Sounds just a little bit unethical knowing that the company is headed into bankruptcy shortly. Pensions should NEVER invest its retirees hard earned money in such risky assets. Bloomberg reporter should look into this...
email sent ,
ERISA provides protections for pension plan accrued benefits. These apply even when a company is restructuring in Chapter 11 and include PBGC guarantees of most benefits, subject to a monthly maximum. In accordance with the law, while a Company is restructuring in Chapter 11, participants who elect to retire will only be able to take a pension distribution in the form of an annuity, lump sum payments are not an option. However, once the company emerges from Chapter 11, the balance of a participant’s pension benefit can be made in the form of a lump sum payment.
In response to your second question, if one’s benefit commencement date is on or after the date in which Chapter 11 is filed, lump sum payments will not be available from the plan.
Regards,
Sr. Benefits Manager
Frontier Communications
Of course its going away...they need to stretch the pot and hope people dont out live the funded amount.
Mr “Cletus”, any sort of “investment” into frontier right now is the worst move possible. So, no the pension is not fine in regards to the lump sum especially if these investments are bonds from frontier. the whole reason FTR is in this mess is because they can’t repay these bonds/creditors. Lump sum will be the first thing to go because there is no lump sum protection in any of cwa/ibew labor contracts (at least with FTR). But maybe you were being sarcastic and if so.... I see what you did there!
Pension fund is doing just fine. Part of a good faith in the negotiations is that the pension has agreed to buy some bonds from Frontier as an investment. The interest rate that Frontier is providing is phenomenal. This is a good move for Frontier and the pension fund! Just remember to please keep paying your Union dues. IBEW strong!
If you can retire now.....I would....Do not wait...if FTR goes Ch.11.....There goes your lump sum
negative ,funded at about 90% last report,,,but if BK announced ,it will go away to monthly
With this company anything is possible