What are the odds EM offers us old farts within 2-3 years of retirement a financial "nudge" to hit the road ? If you're only needing a year or 2 (or3) and over 55 already, what does the group think the odds are of EM giving you the years needed to qualify as a retiree and lump out of pension. I'd be gone tomorrow !
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@qfv+16Zsiz2w Retirees come to this board often. It’s foolish to think you are in a position to insinuate that you know the background of everyone here.
What is 8% of the CL31 grouping? 1 or 2 people?
Do not forget. All rank groups have 8% NSI including all executive rank groups. Above CL 31, there are very few Professionals in these rank groups...over 95% are managers and they will be forced out.
Well said @qfv. Most of us here are peons, individual contributors on a salary who carry the company on our backs. As for the spoiled brat analogy, we are not a family: families don't fire each other or throw them under the bus (well...mostly). We are employed at will and treated only as well as the company deems in order to maintain its reputation and be able to attract more employees. Seeking value has been drilled into us: this is what we do for the company, this is how our relationship with the company has been formed - if there is any greed, it what the company has been built on.
@nqc+16Zsiz2w and @Get Over It - your comments are unfair and misguided and I can only assume that you are trolls, with little inside knowledge of EM. Otherwise, surely you would realize that your criticisms only apply to Executives and those that were ranked VERY high in CL27 and above? The vast majority of NSI'd employees on this board were NOT in a sufficiently elevated position to have had any input regarding the policies and direction of the corporation. Therefore saying "this happened on your watch" is incorrect - there was absolutely nothing that I could have done about it (I remember discussion some of these higher-level decisions with my former colleagues and we shook our heads at the insanity of them). As for bonuses? These are only available at the Executive level. The rest of us received a base salary and that was it. So again, saying "you received your salaries and bonuses" does not apply to NSI'd people who are on these boards.
Completely agree with you Get Over It. When the company did well and people were getting bonuses they were happy to take it, and that became their expectation. Now that the company has had to borrow 48 billion dollars to pay its bills people act like they are the victim. It's like a rich kid who's dad buys him a car each year for his birthday, then one year can't because he lost his job and the kid starts punching the walls and having a tantrum.
In the past few hundred years men had to worry about war and death, invasions etc. So you might not get a bonus or maybe you'll get laid off and have to find a new job; big deal. Grow a pair and move on, be glad you're not having to storm beaches in France during D-Day or sink on a ship with 1,000 men in the Pacific.
@hys+16Zsiz2w - I agree with you (no positive financial incentive to retire early). I am thinking in terms of the carrot and the stick.
The carrot would be a generous payout, suspending the discount, or similar. The stick would be something like “leave before we remove the lump sum option”, or the 7% pay cut enforced by suspending the 401(k) match. In the current situation, I don’t think anyone on the board would view the carrot options as viable. That just leaves the stick.
Either way, the company is going to lose a lot of irreplaceable knowledge and experience very quickly and under a dark cloud.
I believe there will be some small measure of incentive to leave offered beyond 3 months of pay. I can see them offering years of service and age, but only if you don’t take the pension as a lump sum as they will want to preserve cash. I also wonder if the Oct. 1 date to stop 401k matching is really to reduce the payouts for the upcoming layoffs and reinstated when the layoffs are complete.
Wow forgot all reputations and credibility.. Looks like under Woods EM left no stone unturned this time! Which bring me to the next question, do we need P&GA? Since news are always leaked..
I doubt there will be a financial nudge to encourage retirement. More likely the opposite by changing the retirement and lump sum qualifications or salary reduction/demotion which stops your three year average from increasing. I am not aware of EM doing base salary reduction and demotion in the past, but it also never stopped savings plan matching. So everything is on the table. Maybe they can encourage bottom 20% to quit voluntarily by cutting base pay by 25% for those ranked at the bottom. this only pisses off the lowest ranked people.
The retirement formula is vested and won't be changed retroactively. Prospectively, the 1.6 factor could be reduced but if you are 52 years old and have 25 years of service the lower factor would not reduce your pension significantly. In other words, 25 years at 1.6 factor plus 3 years at zero factor would reduce pension only about 10%. The big factor is the 5% per year discount in the current plan of leaving before age 60.
Have you run your pension benefit estimates (annuity) and scenarios that could happen? They are cut in half until the final day of the month before you turn 55. This is why things get "touchy" when they are letting folks go just before 55.
This is too much greed. Company has paid you well and you are going to get pension. How much more do you want? Do you not realize that this company has gone down the drain under your watch? Now you are playing victim and still thinking about how to line up your pocket even more?
This mentality from top management to bottom employees has ruined the company.
It’s happened before and it can happen again! Fingers crossed 🤞
You answered your question.
Advantage you?
Is that a question?