Thread regarding AT&T layoffs

Pension sold to insurance company

If you value all your hard work and what you have in your pension, GET OUT NOW! You have been warned?

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| 3601 views | | 48 replies (last May 31, 2023)
Post ID: @OP+1mtOGCFc

48 replies (most recent on top)

I am retiree collecting a pension from T. The letter they sent me was pretty cheerful and painted Athene as a good company. Obviously a lie.

The plan apparently is for T to get rid of pension obligations and for federal govt to also be rid of the obligation of protecting the pension. Win Win ! (for them)

So we are at the mercy of state regulations, after PBGC washes its hands of the responsibility. Seems quite clear Athene will find a way to profit from this while somehow conveniently going bankrupt when it comes to making the monthly pension payments. I give it about 4 years before it happens.

The state agencies 'responsible' for guaranteeing the pensions will probably do something like pay us two thirds of our original pension amounts, and expect us to be grateful. Ah, too bad, so sad.

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Post ID: @qzzh+1mtOGCFc

Thanks for your input Stanky, now why don’t you put your money where your mouth is and put the execs retirement in the same annuity plan as the rest of the peons?

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Post ID: @5wqp+1mtOGCFc

You people are merely trying to create a panick situation that couldn't be further from the truth!

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Post ID: @4zot+1mtOGCFc

Fidelity is a brokerage, they do not provide annuity's, they will sell you an annuity and I can tell you they would NOT sell you an annuity through Athene which is a low rated Insurance company. Fidelity only Uses top rated insurance companies like New York Life, USAA etc.

"Why didn't AT&T go with Fidelity which also provides this service and is rated higher then Athene?"

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Post ID: @3gkk+1mtOGCFc

" This is wrong and must be corrected! We must demand action."

OK, I just told my overworked L2 that I "demand action".

I'm sure that'll do the trick.

I expect notice of a reversal of that pension move anytime now. I'll just sit here and wait for it.

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Post ID: @3tbf+1mtOGCFc

If this was such a good decision, why were only smaller pension accounts transferred and not all accounts the board? This is wrong and must be corrected! We must demand action.

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Post ID: @3bpb+1mtOGCFc

Why didn't AT&T go with Fidelity which also provides this service and is rated higher then Athene?

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Post ID: @3gnp+1mtOGCFc

It's starting to look like Stankey will be able to honor his commitment of $6.5B in savings to the BOD!

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Post ID: @2rby+1mtOGCFc

Help, help the sky is falling!

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Post ID: @2qck+1mtOGCFc

The below statement is from another post but thought it was well stated.
Take note and make the right move that is right for YOU!! The company does NOT CARE ABOUT YOU!
****
AT&T will realize a $350 million non cash gain with the offloading of its pension plan. State Guaranty corporations may not have the financial resources to cover pensions if Athene goes bankrupt. In addition, that $8 billion is going into the investment markets!!

Athene is riskier than if AT&T would have retained it.

"Athene is riskier than if AT&T would have retained it."

The same people that didn't leave last year due to the 30% or more loss in their pension are the same people that are saying not to be an alarmist about this pension transfer to Athene!

Some people rolled the dice by not leaving last year with hopes of "making up the loss" to their pension in 5-10 years from now.

The writing is on the wall people!!! We're not being alarmists, it's in plain site. If you think the company is making moves to help the employees, you are in denial. You still have a month or so... take your lump sum, whatever is left of it, and go elsewhere.

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Post ID: @2rfe+1mtOGCFc

re: "....Is there a way to opt out of the transfer to Athene?"

I believe the only way out is to leave NOW and choose your lump sum from Fidelity. You can then roll it over to another financial company in the form of a ROTH IRA.

Other than that, I don't see any other option.

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Post ID: @2zjh+1mtOGCFc

“ Is there a way to opt out of the transfer to Athene?“

The number of people here that seem to be going through life with such a low count of brain cells is staggering.

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Post ID: @2slq+1mtOGCFc

https://www.investopedia.com/athene-life-insurance-review-5190014

The customer experiences in the online review section of this site are really concerning. Is there a way to opt out of the transfer to Athene?

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Post ID: @2iot+1mtOGCFc

Switch to lump sum.
Re: impossible, these 96K retired employees receive less than $2200 per month annuity. The lump sum ship has sailed for these retirees. They are stuck, if Athene fails, they will join the ranks of the the welfare recipients.

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Post ID: @2ctn+1mtOGCFc

https://www.investopedia.com/athene-life-insurance-review-5190014

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Post ID: @2rvh+1mtOGCFc

Not a good company. https://wallethub.com/profile/li/athene-usa-13015272i

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Post ID: @1ldu+1mtOGCFc

Bold move Stankey, bold move!

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Post ID: @1zjs+1mtOGCFc

Switch to lump sum

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Post ID: @1hwt+1mtOGCFc

So much for the federal pension guarantee.

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Post ID: @1qqx+1mtOGCFc

This is a rotten deal for retired employees collecting an annuity pensions of les than $2200 per month. Stankey does not like or respect you! Good luck living on welfare if Athene goes belly up. Stankey will be laughing all the way to the bank.

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Post ID: @1qxs+1mtOGCFc

so many people have to worry and suffer now due to randall and stankey's blunders

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Post ID: @1jhx+1mtOGCFc

For those that call us alarmists when posting about this pension change..
This is fact.

Below is from another post regarding the pension transfer to Athene:

If you are already getting your pension and your former employer decides to convert it to an annuity paid by an insurance company, your monthly benefit should stay the same. However, your benefits will no longer be protected by the federal pension insurance program, the Pension Benefit Guaranty Corporation.

AT&T has taken this risk off their books. In addition, it no longer has to pay a premium to the PBGC for retirees.

If your pension fails you have no Federal Government protection!!!

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Post ID: @1zhx+1mtOGCFc
Q5: How do I know my pension is secure with Athene?

Insurance companies, like Athene, are heavily regulated to protect your interests. That means you've got protection

Banks are heavily regulated... nothing can surely happ... oh, did two banks go belly up this month?

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Post ID: @1gpe+1mtOGCFc

How does Stephenson survive on that measley pension and salary? We need to establish a "go fund me" for him!

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Post ID: @1dqe+1mtOGCFc

So basically Randall Stephenson and cronies aren’t part of this deal. His $275k monthly pension is excluded. He could barely get by with so little so they put him back on the payroll as a consultant for $1 million a year. Enjoy your layoffs underlings!

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Post ID: @txm+1mtOGCFc

Q: How many retirees will this affect?
A: This transaction covers about 96K retirees who receive certain monthly pension benefits from AT&T—
including you. Generally, it’s based on who is receiving the benefit (you) and the amount (less than $2,200
per month).
If you have questions right now, we encourage you to reach out to the Fidelity Service Center. Athene will
be in touch with you in July.
Q: What changes for AT&T retirees?
A: While the annuity purchase changes who pays and administers your payments, it does not affect the
amount. Your gross monthly payment will be in the same amount and generally paid under the same
terms as the benefit you currently receive.
Q: What happens to payments for AT&T retiree health coverage or reimbursements for Medicare Part B
premiums that are included with my monthly pension benefit?
A: If your monthly pension benefit currently includes payments for retiree health coverage or Medicare Part
B premiums, after the switch to Athene, you’ll need to start paying for retiree health coverage directly
and receive any applicable Medicare Part B reimbursement separately. Simply put, this only impacts how
your health coverage is administered – which will be through the AT&T Benefits Center. The AT&T
Benefits Center will reach out to you soon with instructions for setting up this process. Athene will still
administer your pension.
Q: Why make this change?
A: Athene is a highly-rated insurance company that manages the financial risks associated with annuity
payments as part of their core business. They are experts in what they do, and they do it well. For AT&T,
this model is more cost effective and will simplify the administration.
Q: How do I know my pension is secure with Athene?
A: Insurance companies, like Athene, are heavily regulated to protect your interests. That means you've
got protection from a state guaranty association with coverage determined by where you live. State
guaranty associations act like insurance for insurance companies. For more information, visit the National
Organization of Life & Health Insurance Guaranty Associations at nolhga.com. Click on Facts & Figures,
then click on GA Law Summaries and scroll through the drop-down menu to select your state.
Q: Can I reach out to Athene now with questions?
A: For now, we encourage you to reach out to the Fidelity Service Center. Athene will be in touch in July with
details about the transition.

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Post ID: @hkv+1mtOGCFc

Nothing to worry about? Hmm?
Summarizing the email below: = Molly, you in trouble girl! You on your own!

Dear AT&T retiree—
As a retiree, you’re probably aware that AT&T is focused on becoming the nation’s leading 5G and broadband provider. This focus is consistent with our legacy as one of the world’s leading communications providers, a legacy you supported with your service to the company. In recognition of that service, the leadership team is committed to preserving the most important and significant benefits to our retirees, despite an increasingly challenging and competitive environment.
For decades, we’ve worked hard to safeguard and fully fund our pension obligations. With the plan in good standing, we’re looking at options to further care for these important assets and give you greater peace of mind about your pension payment.
One option available today is to work with a respected financial institution that provides pension group annuities for other Fortune 100 companies. These financial institutions are experts in this field, with a central focus on managing pension assets for maximum returns and safety.
For this reason, and after a detailed review, we’ve elected to transfer the assets and liabilities associated with your pension to an expert in this field, Athene2.
Athene is a highly-rated insurance company that manages annuity payments as part of their core business. They’re experts in what they do, and they do it well. For AT&T, this model is more cost effective and will simplify the administration.
What does that mean for you? Beginning with your August pension payment, you’ll receive monthly payments from Athene instead of the AT&T Pension Benefit Plan. This change does not affect the amount of your
monthly pension payment. Your gross monthly payment will be in the same amount and generally paid under the same terms as the benefit you currently receive.
You don’t need to take any action right now. In July, Athene will send you a welcome kit and will ask you to review your personal information. They’ll provide instructions on how to make any changes, if needed.
We know that the AT&T Pension Benefit Plan provides an important source of retirement income for thousands of individuals, and you can have confidence that this move is a win-win. You’ll be supported in your retirement by an expert in the field, as AT&T focuses on being the best connectivity provider.
We’ve included a brief Q&A below to help answer some of your questions. You can also visit go.att.com/pensiontransfer for more information. If you have any further questions right now, please contact the Fidelity Service Center at 1-866-956-3115. Athene will be in touch with you in July.
Thank you for all you’ve done for AT&T. AT&T Benefits
1 AT&T retiree includes former employees of AT&T and its affiliated companies with benefits under the AT&T Pension Benefit Plan.
2 For retirees residing in New York, your benefits are being transferred to Athene Annuity & Life Assurance Company of New York; for retirees residing in all other states, your benefits are being transferred to Athene Annuity and Life Company.

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Post ID: @fax+1mtOGCFc

https://att.fidelitymicrosite.com/

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Post ID: @bjo+1mtOGCFc

This is new low for AT&T. Has the media been contacted?

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Post ID: @hau+1mtOGCFc

Desperate move by Stankey!

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Post ID: @ajo+1mtOGCFc

This is the most cutthroat move T has made over the last 5 years. And this is saying a lot!!!!

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Post ID: @nrz+1mtOGCFc

I just soiled my pa-ties.

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Post ID: @xgk+1mtOGCFc

I’ve never heard of a company named Athene until this news came out. Of course I’m concerned!

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Post ID: @ius+1mtOGCFc

"To those continually spouting misinformation, stop it. You’re not helping anyone. Stop being an alarmist......"

Thanks Stanky. Glad you came on here to clear the air. We feel much better now.

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Post ID: @mjx+1mtOGCFc

To those continually spouting misinformation, stop it. You’re not helping anyone. Stop being an alarmist. AT&T has not transferred all pensions over to an insurance company. Stop saying there is no protection if the instance company fails. Not true. Stop directing people to “research” when you have clearly done none, and probably aren’t capable of any. Besides all of that, you should have taken the lump sum if you were eligible for it, and then you wouldn’t be impacted anyway. Simpletons.

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Post ID: @cki+1mtOGCFc

"Please re-read the letter you received!
This only affects retired employees receiving a monthly annuity payment of $2200 or less.
The sky is not falling, repeat, the sky is not falling."

Look beyond the email!!! The writing is on the wall. Back in 2020 Stank mentioned freezing pensions. Now they got rid of it to an insurance company. If that insurance company goes under it'll affect EVERYONE, including those that have not yet retired. They will come for lump sum next, meaning, they will eliminate that option.
Sigh.

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Post ID: @phc+1mtOGCFc

“ Shouldn’t this decision have been put up for an employee/retiree vote?“

That’s funny.

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Post ID: @gxz+1mtOGCFc

Please re-read the letter you received!
This only affects retired employees receiving a monthly annuity payment of $2200 or less.
The sky is not falling, repeat, the sky is not falling.

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Post ID: @tpf+1mtOGCFc

"With the way things are going, AT&T may be bankrupt before the insurance company would be!"

It appears that T is saving itself. They are taking the life boats and jackets from its passengers and sending flares to other ships to rescue its employees :-(

The insurance company, Athene, has a C- rating... NOT GOOD!!!

https://weissratings.com/en/insurer/L61689

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Post ID: @oid+1mtOGCFc

Shouldn’t this decision have been put up for an employee/retiree vote?

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Post ID: @eog+1mtOGCFc

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