Thread regarding Allstate Corp. layoffs

Whats a defined benefit pension. Cry me a river Boomer deadweight you have it made.

10-yr treasury sitting at 0.83% as I’m writing this.
Negative rates will soon follow. Why is Tom not taking action to shore up this liability?

The 10-year treasury rate just dropped below 1% today.

Yes, but you have to declare and be gone by November 30th to take advantage of the new rate.
Re: the “possibility of your lump sum doubling over the next year or two....”. That’s simply not realistic or based in fact. Depending on the rate movement, you might see a 10% impact, still a significant increase, in the most severe rate movement.

Yes, but you have to declare and be gone by November 30th to take advantage of the new rate.
Re: the “possibility of your lump sum doubling over the next year or two....”. That’s simply not realistic or based in fact. Depending on the rate movement, you might see a 10% impact, still a significant increase, in the most severe rate movement.

Aren't the Aug 2019 rates used for the Dec 2019 - Nov 2020 lump sums? So you want to wait until Dec or later due to the new rates. Right?

There is also the possibility that rates continue dropping. Perhaps even into negative territory.

Imaging seeing your lump sum doubling over the course of the next year or two. It’s quite possible.

Which means, any retirement eligible employees that are vested in the legacy defined pension benefit will be looking hard at an 11/30 retirement date. For those with a significant lump sum (long term managers) the decision to not retire could result in six figure impact to lump sum disbursements. Like working the following year for free.

IRS just released segment rates for August. A quick calculation indicates a 13% lump sum increase over last year. :)

Yes, the November 30th date will see a significant increase in retirements of tenured employees, if they’re smart.

10-yr treasury rate just dipped below the 2-yr rate. Those with 30+ years of service will see a significant increase in their lump sum should they retire next year.

The Allstate traditional pension is handled by Northern Trust and not under the control of the company at all. It's completely separate. I am not sure what that organization does but they have been in the pension industry for a very long time.

That wasn’t the question.

alot of companies are targeting older employees as pensions are almost always backloaded primarily companies that only still have the pension for employees that are grandfathered in because most companies stopped offering that benefit to new hires in the past 15 years