said by bemis:My company gives everyone 3% into their 401K no matter what then they match up to 6%. said by r81984:
How can you expect a company to afford to pay for workers who no longer work for them? Workers who make them no money at all?
Let me just say that I am with you--I am against continued pensions now that it's plainly clear they are an unsustainable future nightmare for employers.
But the thing is that these companies did promise pensions to these workers and it would not be right to take them away. I think however that the unions need to accept this situation and work out some sort of a deal.
Any active employee with over 5 years of service keeps their arrangement. Active employee with less than 5 years gets a lump sum put into a 401K or other retirement account. Those same under-5 employees and new employees get an employer provided contribution either as a base contribution or a match.
For reference my employer will put 2% as long as a "match" if I put in 6%...
My health case "option" (is it really an option if your choice is that or nothing?) is a high deductible plan. In essence what I have is a catastrophic-coverage plan because I am responsible for 100% of the first $2,000 of my health costs per year, then 20% of them up to a max yearly out of pocket of $10,000.
My job required a technical college degree (electronics). I receive no bonus. My salary would be considered at the very low end of average given the number of years of experience I have.
So it seems like Verizon union workers probably have quite a lot of things to "give up" before they are down to what I believe is a relatively common private sector job.