If I retire at 55 and take lump sum, I understand that there is a 25% penalty.
When I use the EDA model and input retirement at 55 and benefit start date when I turn 60, the 25% penalty seems to go away but the only options in the model are monthly annuities.
Is lump sum at 60 available if I leave (PIP’d) at 55?
Between 55 and 60, my Lump Sum will increase $14,000 every month that I stay an employee. Plus I will get my salary and the Company Match each month so deferring retirement is very worth it.
I plan to stay to 60 if possible.
After 60, my lump sum starts to decrease slightly every month.
5vhv+1dWFH1ku
You seem to forget that if you work from 56 to 60 (if the company doesn’t PIP you), you continue to get a salary and a 7% 401K match. It’s rather bold to imagine that your personal choices of investment for a 75% lump sum will top all that. That’s why, if you can, it’s always worth not retiring before 60. Unsurprisingly, the company tries to force everybody to retire early, which casts some dark doubts about you being a corporate troll.
56 with 30 years of service. Your lump sum will likely gain much more than 5% a year once its in your hands as long as you stay out of the strip clubs, massage parlors and BMW dealerships so dont let the pre 60 discounts slow you down.
As many have said, very few will have a choice of their retirement age. I suspect that getting rid of the pension is not as easy as the PIP plan so they now ensure very few people will make it to 60. Because of age discrimination law suits, they will guarantee a representative population gets PIPed before 52, so really XOM no longer hires for a life time career. As others have said, not many companies expect people to stay their entire careers so nothing wrong with that. However, If people will end up staying on average 3-5 years, XOM truly needs to start changing fundamentally to survive as it needs experience and expertise to operate (this is not a consulting company).
In the past, only people at the bottom worried about the PIP. Many people never heard about the PIP, but suddenly the PIP system was weaponized to target anyone, not just the people at the bottom. I know a high performer that got transferred into a very different job with a tight group and the Supervisor felt threatened so PIP’d him. I have seen a highly regarded Subject Matter Expert PIP’d apparently due to age discrimination instead of performance. A lot of people without sponsors worry about the PIP. The people with Sponsors just taunt everyone else, even on this forum.
1xki+1dWFH1ku
You’re singing the management shi_ity tune about “nothing has happened, we always had PIP, only people at the bottom care about the PIP”.
I see you don’t dare to claim that the Drop Dead ranking change has also been around since forever.
Sell your brown stuff where somebody buys it.
Of the 20+ people I know who quit not a single one of them cared at all about the PIP %. The only people who really care about the “one year contract” cr-p are people at the bottom and people who overworry. It’s a job. Everyone, including XOM, cuts people. XOM pip has been high before and it’s been low before. Get over it.
EM culture was never perfect, but morale has been destroyed in the past 1.5 years. I see some effort for damage control but DW insisting on 8% PIP and unlimited possibility to drop to the bottom of ranking from any level has employees feeling like on 1 year contract each year.
Attrition is high.
Moving jobs to low cost centers.
Expat jobs seem to be going mainly to BTC engineers.
Senior Executives still giving each other big bonuses throughout these hard times is shameful.
This is sad and was preventable.
Hoping to survive to 52 then 55.
It’s just sad, I wish those left behind to have brighter days ahead.
wyf+1dWFH1ku
You’ve retired three years ago, of course there were plenty in your team who retired at 60 or over. It has nothing to do with any skills. Today at EM higher skills = experience = higher pay = bulls eye on your back.
I’m glad you older guys got the good stuff you deserved and got out before the company changed the deal, but you are completely oblivious to what a sh_ithole this company turned into in just two years. Everything you know about retirement is now obsolete.
I retired at 62 which in hindsight was a couple years too late … I was enjoying my job until the end when they dropped me in the ranking … I guess that’s being told to leave.
I retired at 62 which in hindsight was a couple years too late … I was enjoying my job until the end when they dropped me in the ranking … I guess that’s being told to leave.
NRE protected age group 52 to 55 or if over 55 and within 3 years of attaining 15 years of service.
The protected age group is 52 to 53 1/2 years old. After 53 1/2, you are fair game for early retirement.
Are you sure you get 100% of
Your pension if you retire at age 59 1/2? I was told you only get 100% of your pension if you retire exactly at age 60.
There were plenty in my EM team who retired in their 60s. I think it also has to do with what skills you’ve got compared to what skills they want. My last years 27 years I was working the front lines on EM offshore construction jobs. It was good work for which I was highly qualified and fairly paid. When I finally announced my retirement at 66 yo my super asked me me stay another year. But, I said no way. EM was good to work for if you filled a need that EM valued.
Now, three years into retirement, I’m growing my own weed (Krush Gold) and getting pretty good at it. Something I would never have done had I continued to work at EM due to frequent dr-g tests during my time. I always passed the EM dr-g tests. But, I would never pass one today. Ha! Too much fun!
Good luck to everyone!!!
The system now is try to survive until 52, then you are guaranteed to stay employed until 55 (NRE). When turn 55 you are no longer legally protected so have a target on your back and rank points taken away in downward spiral until PIP’d.
EM would force everyone to retire at 55 except for the fear of a class action lawsuit.
That seriously, is sad stuff.
Before the mass piping layoffs you could stay almost as long as you would like. Now after 55 they are gunning for you. So before 2018-19 I saw people retire at around 62 thru 68. Now I see people leaving at 56 thru 60. They are leaving because of the PIP. Of course if you are connected you can still stay as long as you like. We have one clueless person that is 64 and ranked well. We had one who was 74 but worked better than the younger workers. He apparently choose to retire but I think he was pushed out. One manager honestly told a worker that due to his age he would drop in ranking because of it. Compared to younger workers he would rank lower and it would better to leave on his own instead of being PIPed. I believe this will continue to happen to higher paid older workers. I myself will leave at 57 thru 60 if I get there before my turn at PIP. Remember it feels like we all will get our chance to go through PiP in the upcoming years.
That’s a weird question. People here seem to talk about the past, when you retired at what you considered the best time.
Today if you’re so lucky to be over 55 you simply retire when they PIP you. They started in 2020 mostly with those over 60 and now they’re working their way down to 55. Of course, like everything else in this company it also depends on your connections. If somebody covers your back you might be able to actually get full pension at 60.
I retired in March of 2016 at the age of 65 from EM Upstream Projects as an Engineer
I left at 56. 34 years was enough. Still have the same old hide laying next to me, so saved tons of thrift fund money and pension.
Also, you can leave before 60 but defer taking pension to get 100%.
But with lump sum rates the best they have ever been, the time to leave is likely now.
It depends on your circumstances. You will receive 100% of your pension if you retire at age 59 1/2 years. However, if you are divorced (maybe several times), your spouse may be receive 50% of your pension benefits upon retirement. You may need to work well beyond the age of 59 1/2 years to make up for that 50% loss in retirement benefits.
Also, the matching 401K is an incentive to work well beyond 59 1/2. Where else can you put $1 before tax into a 401K and have it matched by the company dollar for dollar up to 7%.
In the ‘70’s and ‘80’s, the only folks that stayed after reaching 55 was those who had a stock split (today that’s called a deevorce).
Here in the ‘20’s I’d reckon most stay on to 60. Factor in that folks are healthier due to not having worked so hard and better dr-gs they take and they live longer.
If there were no 25% penalty to retire at 55, most would leave at 55.
That 25% penalty is so much, 5% per year of lump sum, that it equates to over $10,000 per month added to my lump sum for every month that I stay past 55. Incentivize staying until 60.
If EM wants to get rid of higher paid workers, just get rid of that 25% penalty. Most people between 55 and 60 would jump.
I retired at age 58.5 with 40.5 years going on 3 years ago.
For US, I would guess 60 (or 59.5) as that is when you take the pension without penalty. But of course we have a collection of ancient relics across the campus who claim they want to stay to “contribute” however the reality is they have made a number of bad life choices and cannot afford to go….
Interesting question. What about how many years enjoyed in retirement?
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