Thread regarding Wells Fargo & Co. layoffs

Pension to Cash Balance bait and switcharoo

Anyone remember when they sold everyone who's age and years of service were below a certain number, they'd no longer be part of the pension program but not to worry, they'd be getting a new 'cash balance' plan that was really just as good. They even had presentations with calculations side-by-side to calm everyone down.

And then a few years later they quietly 'froze' the cash balance plan, so it just earns minimal interest every year and gets no other contributions.

I still can't believe they got away with that. Anyone ever hear that any stink was made about this?

by Eponymous
| 2253 views | | 7 replies (last March 28, 2022) | Reply
Post ID: @OP+1fWdWZv7
Comment! It's anonymous!

7 replies (most recent on top)

He outsourced 500 employees while on the toilet

by Anonymous
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Post ID: @2nrx+1fWdWZv7

IIRC it was frozen in 2009. Yeah, it was lame. The annoying thing is, they don't offer any options for getting that $ the heck out of there so it can be put to work earning a real return. Instead it sits there languishing, being eaten by inflation every day.

by Anonymous
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Post ID: @1xwc+1fWdWZv7

Be thankful you were part of that plan at all. That thing was a gift compared to the current 401k.

by Anonymous
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Post ID: @1wth+1fWdWZv7

Yes, I remember and was receiving a 6% match on the cash balance. I am not opting for the annuity as principal goes away if I get hit by a bus the day after I retire. Will take a roll over. People were very upset when pension stopped in early 80s and then cash balance was frozen, about 16 yrs ago. Not many around from back then.

by Anonymous
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Post ID: @1krd+1fWdWZv7

I wasn’t part of the original cash balance plan, but started when they already had the second cash balance plan. Yeah, quietly freezing it was stinky. I think that happened as part of the Wachovia merger.

by Anonymous
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Post ID: @1pfq+1fWdWZv7

Yeah, I do.

It was BULL-loney and irritated me, but what do you do? My 'cash' balance plan is now relegated to be slated to 'lump sum' status when I finally bail, so it can be invested in making money, instead of the pathetic $400 a quarter it gets now...

The beginning of failure after failure this company has inflicted on its employees.

by Anonymous
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Post ID: @uuh+1fWdWZv7

Let me tell you about stink. Charlie was beside me in the bathroom stall this week, pinching off a huge loaf. Not only did it stink up the whole bathroom, but he didn’t even flush the toilet or wash his hands.

by Anonymous
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Post ID: @ucc+1fWdWZv7

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