Im not sure what it is just got it today but looks like a copy of the court paperwork? It looks like i have to file a claim? Im still employed....help?
24 replies (most recent on top)
@1nik - I am a former employee of Sears and have received this notice. As far as I know, Sears paid me all monies owed to me in full after my departure. I think they are sending it to all current and former employees just to cover their bases. Receipt of this notice does not necessarily entitle you to any money.
If you received this notice, Sears has identified you as a creditor, meaning they owe you money. It could be on a gift card refund never sent, outstanding pay or benefits you may not receive, referral income, such as the Personal Shopper program, etc.
My guess is that if someone has a pension value of less than a certain amount (3,000? 5,000?), when they leave the company it is normally paid out as a lump sum. But since the pension is frozen, they can't hand out any lump sums of any amount so perhaps that is why the filing to Prime clerk is required. We'll see what EHR has to say. The PBGC website does not mention any filings that are required.
I logged into the Sears EHR pension website and sent them a 'general benefit inquiry' to clear up this misinformation. When I get a written reply I will post it so everyone can see.
@kha - Say what you mean! If you are stating that SHLD froze the pension plan, then you are correct. However, at no time were there any reductions to the monthly pension benefits already accrued. The lump sum option is no longer available, however, that option has been suspended several times in the past as well.
Would have to guess mailer went out to the potential pensioners and ones already receiving pensions of more than 265 dollars a month ( that didn't get a
Met Life annuity purchased for them last year )
Not filing a claim takes you off the books of the PBGC . If you worked full time for Sears and were pension vested , you want to file .
@kha - if I am 'ignorant' then I suggest you post some proof of a pension reduction. Please post a link of a document or some news article that proves your statement. I went to the narse.org website and if something that dramatic occurred it would be front page news.
http://www.narse.org/
@mix again, the reduction already happened. pensioners have already taken a serious bath. you are speaking from a position of significant ignorance.
@mix again, the reduction already happened. it's past tense.
I suggest you read the following link(s)
https://www.pbgc.gov/Sears-QA
https://www.pbgc.gov/news/press/releases/pbgc-statement-on-sears-bankruptcy-filing
Yes, the pension plan is underfunded. According to this, the vast majority of pensioners will not get a reduction. The lump sum is a double edge sword. Yes, you can get a large amount up-front. However, if not managed carefully it can disappear within a few years. The stock market and mutual funds are not guaranteed. The 600 a month at age 77 can be a lifesaver (when added to social security and other income). My parents are in their late 80's and 600 a month to them means quite a lot now that they have drained down their IRA's. This basically pays for most of their Medicare part A,B and D premiums.
I also suggest you read the following book about retirement "Retirement game changers" by Steve Vernon, a respected financial expert. Read what he has to say about lump sum distributions from pensions.
@cti You don't know what you're talking about. Sears screwing over pensioners is already past tense. These were contractual obligations, and they entered bankruptcy because they could not keep their promises. They chose instead to use that money on things like shareholder buybacks, paying off Eddie's companies, and lately, executive bonuses. The pension is underfunded by billions and now taxpayers will have to pick up the bill, and pensioners will still get bowled over. They've cut off the ability to withdraw. They've already cut pension payments by 30%. If you need to withdraw because of large medical bills, or want to pay off a big loan, or want to enjoy your youthful retirement instead of having it be useless when you're 80 and an invalid, you're out of luck. $120,000 when you're 67 is a dream. $600 a month extra when you're 77 is worth a pile of warm spit.
Why is it wasteful? the court has no way knowing if your are owed money or not.
It's up to you to think for self, not the court. If you're owned money file a claim. If not, throw it away
"It seems that it is pretty wasteful to be mailing out bankruptcy notices to every single current and former employee."
A couple hundred thousand mailings, that does sound pretty wasteful.
@ayj - You deserve to be laughed off this site. Your ignorance on how the pension fund is structured and guaranteed by the PBGC is absolutely laughable. SHLD doesn't have the authority or the means to "drastically reduce the pension fund, or delete it altogether."
Rest assured, none of the execs getting their $25M bonuses and million dollar base salary paydays will have their paperwork messed up! Mr. Chairman obviously thinks they're doing a fab job!
The suggestion is to find a new job while you still can. Any benefits, pensions, insurance, vacation time, and even paychecks are iffy if someone screws up the paperwork as is wont to happen because HR, accounting, and IT are being laid off maddeningly rushing off to find new jobs too. Bankruptcy is full of tales of woe of people who couldn't get paid, and lost their homes, cars, etc. because they didn't get paid on time.
: @WmFSQLX-kpi i am with you I have a new job , better working conditions and put Sears behind me finally if sears owed me any money they can keep is as far as i'm concerned
Former employee here and I received this form today. Don't know why, they don't owe me any money (at least I don't think so -- just being honest). It seems that it is pretty wasteful to be mailing out bankruptcy notices to every single current and former employee. I just thought that stuff like that was mailed to creditors who registered with the court.
I've sort of put Sears in my rearview mirror and have mostly put the awful experience I had behind me (horrible store manager, many employees were insubordinate when I asked them to do something and the manager let it happen, store was horribly understaffed, constant bad/depressing news, etc.). I'm in a new job which pays so much more than I was making as a lead at Sears. My new job has opportunities that Sears couldn't come close to matching. I have real benefits at my new job--benefits that have raised my eyebrows and made me go "I really get that?" and the HR rep was "yes, you do get such-and-such as a benefit" and probably wondered why I was so enthused (sad, I know. I went in to this new job not expecting much). Most importantly, I am able to actually say that I look forward to going to work in my new job 90-95% of the time, whereas at Sears, I felt my blood pressure go up just thinking about the fact that I had to work there another day and anxiously waited to clock out for the day nearly 100% of the time. Plus, the company I work for isn't going anywhere anytime soon.
There is greener grass on the other side, cross that fence and stake your claim before it is too late!
I posted this before and was laughed off the site by sheople too naive to grasp reality. But now I’ll say it again: Sears is going to either drastically reduce the pension fund, or delete it altogether. This legal paperwork is laying the groundwork to minimize their liability in the matter.
Yeah i did. Is there somehing we have to do?
Any suggestions?
Sears is probably going to give you a reason to sue them for money really soon.
What does that mean?
Someone screwed up. The company is about to screw you as a future claimant and they sent you the paperwork ahead of time.