Do y’all think the pensions gonna go soon? If so, will they bring it back like they had done before?
Would those of you who are vested stay for the pension if it’s grandfathered in?
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CVX is 1.3 time year's service with last 5 year average. EM is 1.6 time service with 3 highest years. CVX matches 8%, EM used to match 7%
I support the first respondents view. Can anyone summarize the key differences between Chevron and Exxon’s pension?
What do you mean "bring it back like they had done before"? Pension has been in place in the U.S. for decades without interruption.
I think they will change the way we are compensated, yes.
Regarding US pension and knowing XOM, this will be reviewed in a total compensation review, using competitor salary / benefit survey data (oil industry and top tech companies). Total comp = base salary+benefits+pension+ savings/match+ incentive bonus or restricted stock. Twenty years ago, the pension was a recruiting advantage. No longer. My bet is that they reduce US pension to CVX level, bring back the 7% match with 8% match (just like CVX). Then add a variable component to base pay (base salary curves will be lowered to allow room to add bonus). Restricted stock to high performers, but base pay will be dropped. This variable component automatically drops costs during bad times...and would help avoid layoffs. Vesting on restricted stock tends to make it hard for competitors to recruit because they need to pay for the unvested shares, which can be over a hundred thousand dollars after a couple years. Match will return with a changes compensation system and modified (not eliminated) pension. If CVX gets rid of pension, XOM will also. No other big tech companies have a defined benefit pension