Has the company sent out an email encouraging those eligible for lump sum to look at the rates, the forecast drop in lump sum, and consider retiring a bit early?
Is the drop significant? 10%?
16 replies (most recent on top)
There will not be a 10% raise next year. That suggestion must have come from a Michigan-legal pot smoker!
We’ll be lucky if we get a raise next year. Ford will announce that we have to go down another 2000 resources (=$300M) in the US to make up for the fall in revenue.
I also had 25 years and left last year. Best decision I've made in a while. Management became so toxic in the IT sphere. Not worth it anymore.
@1lbo+1p2TBKcM - Congrats! You're the smartest person in the room (along with the others that retired before December 1). For those who stayed, it is turning out to be the equivalent of ~2 years of working without pay.
People should be reminded, the most precious thing when you get older is time NOT money. I've heard of so many stories of Ford employees delay their retirement only to die a year or two later. We had one in our group just this year die 14 months after he retired.
What is this gibberish about a 10% raise for salaried? What you smokin? I want some! No raises for salaried next year; gotta pay for this coming record UAW contract. If they signed now, they win big, but they ain’t done yet.
I took the lump sum and retired last Dec 1. I am very glad that I did.
A 9% drop in lump sum for someone age 57 with 27 years probably is 0.8x salary.
That 10% raise isn’t going to make up for that. Staying for a year will add about 6% to 7% to lump sum so it’s likely a wash.
The lesson is: know your magic number
My neighbor will decide in the next few weeks. the neighbor is 57 years old with 27 years of service. Their financial advisor said to stay even with the 9% drop. Why? because most likely salary employees will see a raise as the UAW. Thus next year's raise could be as much as 10% across the board. I'm looking forward to that!
Should I ask this question (10% raise to match UAW) at the next townhall?
"How many retired last year?"
Ford said 1,000 and it was published in the freep on Dec. 8, 2022.
But someone posted here that it was close to 1,400
If you're not 55 you need 30 years to get your lump - otherwise it's ~half as much and the hsa healthcare stipend.
You're stuck bc a 10% drop is better than 50% and no healthcare in retirement.
If they offered at least a 1 year bridge to 30 more would likely retire.
If you were eligible to retire last year and did not take the hint even after the company sent the email, there isn't much to say.
I had 25 years with Ford, I took the lump sum last year and left the company. I did not want to work for free for 2 years. I am glad I did what I did.
You will still be working for free all next year if you don't take the lump sum by dec 1st.
How many retired last year?
We will not see an email this year. This is NOT like last year. Very few will retire this year. The estimate is around 250, which is typical.
The email should come out soon.
No email encouraging people to take lump sum. Retirement calculator is using the new interest rates. It doesn't include the not-yet-released mortality table though it shouldn't change that much compared to last year.
My drop was just under 8% comparing calculations I made earlier this year to those using the new interest rates for retirement 1/1/24. YMMV