Thread regarding Verizon Communications Inc. layoffs

2chk thanks for the info... Your correct each state will have different unemployment calculations. In VA.. Calculation is based on pay for the last 5 quarters.. I have a good salary and it only comes out to $400 a week for 26 weeks.... does not add up to much... I have been through enough of these... and know they inflate the scare tactics and I can likely work a year or two... before I am older.. making more collecting a good salary but then wind up here again..

yes if there is no cap it is a NO Brainer... I would not bet on that but certainly hoping for it...

thanks for the reply.

21zu - your comment on why most of us don't think a 60 week cap is enough....it's only 25 more weeks than prior RIFs but with this offer, you will NOT be able to collect unemployment where with a RIF you could. For me in NJ, the unemployment equates to 14 weeks base pay, which is obviously different for everyone. So now that makes this offer only 11 more weeks better than usual. I'm sure I could work longer than the one year, and if I end up getting RIF'd in 2 yrs or beyond, so be it. I worked longer, and still get a small severance and unemployment. For folks like me in early 50s with 30-35 yrs, 60 weeks is not fascinating. No cap is a no brainer, they will max out what they want. If they cap it, guaranteed they won't get close to the number they want. They will only get rid of the folks who were going to leave in the next year anyway, so they are paying for nothing.

We just had a massive RIF in August. 1. If this rumor is true, why wouldn't the company make that offer to those who were RIFD in august. 2. And why doesn't the company just continue to RIF until they get to their number?

I sure hope this package comes tomorrow and not Friday like one poster said. This is enough to drive anyone crazy. There are no answers until we see it in writing. Hoping for the best for everyone.

I have been through 50 rifs, a 6&6, and 2003 offer. I have heard all the severance is gonna change if u don’t take it this time, life will be awful at Verizon post offer talk. Multiple CEOs, mergers and sales, pension frozen and more. I am still standing. Sorry 60 weeks is not enough, at my age I will NEVER replace my salary and benefits, but 3 weeks no caps might get me to jump as that puts me in my mid 60s

But they froze the pension... they would not have to fund it beyond the freeze year would they?

I am sure it helps the balance sheet to not have a debt owed as a future expenditure. Offering to clear the book with a cash offer makes sense as well. But the pension was Frozen years ago..

They don't have to cap it. They know exactly how may people fall into the criteria they set and that is the amount of people they are willing to lose. And, there is no way there is a 6o week cap. If there were, there would be no mention of 3 weeks a year because it would be irrelevant. And, after all of this effort (speculation I know) they would not run the risk of not losing the amount of people they desire to lose. And, I heard that the way they will regulate that would be to rank people by their age and service and let go the # of people they want to lave.

"Ironically if Verizon hadn't frozen managements pensions in 2006 many of the older higher paid employees that they want to get off the payroll now would have had enough money years ago too retire and would no longer be on the payroll."

Yes, but then there would have been much bigger pension liabilities to fund. VZ can always RIF off the payroll to stop the loss, whereas any earned pension has to be paid.

They will have to cap it.. they had a no cap offer 10-\or 12 years ago and way more people took the offer than expected.. 60 would be an enhancement over the 35 and seems plausible... it is odd to start with 20 years. Someone else previously stated said just make it a 60 week offer. Remember this is all speculation at this point...

I agree with the irony that if the company had not frozen our medical in 06 many of us would be in a better position to go. For that matter many would likely have already left.

I am trying to understand both perspectives of stay or go to help me with my decision. What I don't understand are those that are saying 60 weeks is not worth leaving. It is 70 percent more than the 35 weeks offered in the past. The 35 weeks equates to .67 % (9) months) of a year vrs 1.15 or 14 months. Basically 5 extra months...

The medical is an issue.... it adds another $20K chunk of an expense taken each year directly out of the pot of money between the cash bal & 401K.. but it gives me about a year of vacation vrs me staying with ~35 years waiting for the best offer to come along.. having more stress because there are less resources to do the same amount of work.... and The risk is Working another year or even two... and then possibly getting a lesser offer.

Something to consider is if you stay and get RIF'ed then you may or MAY NOT be eligible for unemployment... but that is a fraction of your salary. based on one google search in my state I have calculated it at $400 per week for 26 weeks about $10K total.... so far it does not see to be worth the risk to stay. I totally understand this is a personal choice just trying to get others perspectives to be informed and prepared if fed ex shows up tomorrow. thanks

the 20 year cap makes sense if the offer is not limited to those with at least 20 years in. My sources say the package will be offered to virtually all employees with at least 3 years in. Simple calculation for weeks of severance- just years in multiplied by 3, with cap at 60 weeks.

Ironically if Verizon hadn't frozen managements pensions in 2006 many of the older higher paid employees that they want to get off the payroll now would have had enough money years ago too retire and would no longer be on the payroll.

Is it true or just a rumor about only 30 day severance going forward

Does anyone know if the offer will be for all levels of management or only First levels. I’m a second level and I heard the offer was only being offered to first.

I also am a Wireline manager with 30+ years who would NOT take the buyout if it is capped at 60. 60 is not much better than the current RIF severance and not much better than working another year,

3 x years with 60 week cap or 2 x years no cap

I've heard they've sc-apped the 60 weeks max and have agreed to give 3 weeks pay for each year of service with no max.

I've also heard the communication is delayed because of the numerous Q 12/31/18, 3/31/19, and 6/30/19

I do not think that there is a 60 week cap. If the lowest # of service years for this offer is 20 and 20 years x 3 weeks = 60 and the cap is 60, then why would they even get into the 3 week calculation because then the offer would e 60 weeks for everyone and 3 weeks per year means nothing..

There should be more pay out for someone with 30+ years instead of the same as someone with 20. But I guess they figure those people have a pension so the majority of the people who will be taking this offersre those folks that have a pension.

I'm Into my 40th year.. was planning on getting out anyway at the end of the year.. this will be the icing on the cake. Im 59 and will be 59 1/2 early February. I'm hoping for some enhancement for those over 20 years of service. 20 additional years should have some extra compensation. I'm hoping 3 weeks for each year no cap, but i see that as a pipedream

https://www.businessinsider.com/ibm-layoffs-1-month-severance-2016-3

"The age for penalty free withdrawals from 401k is not 59.5. It is 55.5. Pension is 59.5."

It's actually the rule of 55, and because of the calendar year stuff, in theory you could be as young as 54+1 day, if your birthday is Dec 31 and you separate Jan 1.

From Forbes: "Per IRS Publication 575, the Rule of 55 allows an employee who retires, quits, or is fired at age 55 to withdraw without penalty from their 401(k). This applies if you leave your job at any time during the calendar year in which you turn 55 or later. This only applies to funds withdrawn from a 401(k). If you retire and roll your 401(k) into an IRA, the rule no longer applies. Keep in mind that taxes must be paid on all distributions.

Example 1: Susan takes a company buyout.

Susan will turn 55 on August 1, 2017. Her company is offering buyouts, but to qualify, the person must separate from the company by June 30, 2017.

In Susan’s case, she would qualify for the Rule of 55 since she will turn 55 in the year she will separate from service from her company. It doesn’t matter that she’s hasn’t yet turned 55 when she leaves, provided she will do so at some point that year.

Example 2: John is forced out early.

John was unfortunately caught in a company downsizing and was let go as of January 31, 2017. He turns 54 on April 1, 2017. In this case, even if John waited until April 1, 2018 -- the day he turns 55 -- to withdraw funds, he would still be assessed a 10% penalty.

It doesn’t matter if John waits until he turns 55 since he had already separated from his company prior to 2018, the year he will turn 55.

I am just weeks shy of 20yrs... And not yet 50 years old. If true (which I doubt), I would jump on this deal like a chicken on a junebug.

The age for penalty free withdrawals from 401k is not 59.5. It is 55.5. Pension is 59.5.

Retirement medical benefits are a huge factor for many management employees who may be pension eligible and Close to 59.5 for penalty-free 401k withdrawals, but still need 5 or more years to be Medicare eligible. Since Verizon capped their medical contribution to a fixed percentage of 2006 costs for management, it has become extremely expensive in 2018 for anyone with dependents to afford to carry them on their retiree medical plan (approx 18000/year employee contribution for me) if Verizon is really serious About enticing older employees to leave, they should consider an enhanced bridge to Medicare eligibility.

I like my job too. It's not that 60 weeks isn't enough. It depends on where you are in your life. I have 30+ years but I am not social security eligible and given my age and the fact that I have been in this industry for so long, where would I get another comparable job? I would need to pick the option that I think would get me the furthest down the line and If they change the severance package which I am sure they will, So be it. I doubt the cap is 60 weeks because then the main beneficiaries of this would be those with 20 years and that is their starting point for this notification (so I hear). And, I would think it's everyone beyond 20 years that they really want to lose.THat would get rid of most of their management pension obligations.

For those of you thinking that 60 weeks is not enough and are willing to chance that severance under a normal rif package doesn’t change all that much, be prepared for the company to reduce severance to as little as 30 days for everyone. That is a very real possibility. Other companies have already done so. I am not willing to risk that. I’ll give up the unemployment. Of course, we should all expect STI target to be included in the severance package. If not then there really is a problem here. All you have to do is do the math.

As a 30+ year NY telephone employee who likes his job, I would never take 60 weeks. I will gamble that I will last more than a year, if they rif me so be it. I will get some severance, hopefully 35 weeks and I can collect unemployment. But if they give me 38 years times 3 weeks I jump. Based on my friends here at VZ with 30+ few if any will take 60 weeks mainly cause we are all younger than 57. It’s only those 62 years and older who will accept. Good luck to all.

I agree, only 25 extra weeks is not much more than traditional rif package which included ability to collect unemployment for 6 months....PLUS, we still don't know if they are including STI as part of 60 week pay which IS included in the old RIF. They are trying to get away with a very small sweetener thinking the threat of reduced future RIFs is the convincer. So if they really want to rid highest paid management who still have a big pension, they need to make it better. I've spoken to many with 35 yrs who say 60 weeks isn't enough, even with the threat of future reduced rif payout. So VZ....wake up, you're missing an opportunity to get what you want by giving what we want.

I doubt there is a 60 week cap. Reason-60 weeks is only 8 weeks more than a year. I have been here way more than 20 years and firmly believe that I could survive for at least the next year. So 60 weeks pay and 35 weeks medical as opposed to having both of those for I believe more that a year? I would not leave for an offer with those caps.

I would hope they would tell us that because I think it would help for a lot of people decide on wether they take this rumored package or not

Let's assume just for argument's sake that beginning in 2019 they do indeed eliminate the traditional 2 weeks for every 1 year RIF package and that it goes away forever. Under that scenario, I would hope that this rumored management buyout offer would extend to all of management including those with < 20 years.

Provide the offer to all and at the same time disclose that severance structure is changing moving forward and this will be the last one.....

I hope there's an off-ramp for all.

and is it true they are doing away with the normal 35 weeks riff package going forward

60 weeks only gives u about 6 more months more that does not seem like much of a incentive

Does anyone know how they will calculate sales peoples weeks pay for a severance. Will it be strictly on your base salary or will they average in the compensation/commissions availabale?

@V9qNMoq-1teh - yes, the offer isn’t capped at the normal 35 weeks, it’s 60 weeks - that is the incentive that the company hopes everyone will jump on. You’ve been here 15 years, you’ll get 45 weeks, 18 years gets 54 weeks, 20 years and above will get you 60 weeks.

And is this just targeted groups or all of IT....JUST MANAGERS OR management employess,,,,,very confusing as to what groups this is for if it is true

Does anyone really believe this is going to happen...instead of just another big riff

Several managers in Boston heard on Friday 3 weeks pay per year of service NO CAP 35 weeks FREE COBRA off payroll 11/1, 1/1 or 6/30. FEDEX package to Home on 9/17. Pretty special info. Anyone confirm same?

V9qNMoq-1kgt do u think they will cap it at 60 weeks