Can any of you Good Folks know when VZ terminated the conventional accrual pension and go to 401K contributions only. ? Thank you
7 replies (most recent on top)
They added 18 months to your Years-Of-Service as of June 2006, and froze it.
They also froze your medical subsidy at the same to YOS+18month.
Whatever subsidy you qualified for at that point was what you would get after retiring, regardless of how far out in the future that might be. Either 50%, 75% or 100%. HOWEVER… what you get off in the future, was also FROZEN at whatever that “Dollar Figure was in 2006”, and NOT 50%,75%,100% of whatever it cost the year you actually do retire. And I can tell you for a fact that qualifying for 50% back in 2006 has very little impact on the massive amount they charge retirees now, ($26k for 2, with the 2006 50%sub). Forcing many to the pos Obamacare, but that limits you to doc's in your own county.
This is where the union really made out. Most only look at their monthly retirement $$ increases, or complain about lump sum decreases due to higher interest rates... But many tend to forget about the $30k+ Med coverage they are still getting. Regardless of whatever measly co-pay increases they may see going forward, still having any form of affordable retirement healthcare is a blessing.
Doreen Tobin! 2006
They did freeze the pension vs. eliminate or so they say to maybe sound better.
June 2006
2006 for non-bargained
2011
- They basically didnt want to offer MCI a pension. So perfect opportunity to ki-ling it.