The buyout is only good for GE debt reduction by taking money from the workers. The leadership drove GE to it's current state, so leadership should have to pay for it. By accepting the buyout you loose money which in turn goes into Culps pocket. He had nothing to do with with this mess, why should he get paid at your expense.
Frankly, employees should stand together and no one should take the buyout unless you are single and recently been told you have a short period of time to live.
Good luck y'all.
Here is a calculator. Exactly as people have been saying. GE offering the bare minimum allowed which ends up being about 1/2 of what it’s worth.
https://www.forbes.com/sites/baldwin/2019/10/20/how-much-is-ge-shortchanging-pensioners-taking-lump-sums-use-our-calculator/
@eoq, not exactly. They are offering you 10 years of payments up front. Assuming you’ll live to average life span, you can amortize that 120k to 85 years of age at 3% to 4% to see how long it can last drawing $1k/month. Let’s not forget the time value of money here. A financial adviser can run the numbers for you. I’m not saying its a good deal, just that your looking at this in an overly simplistic way.
Money is numbers and numbers never end, if it takes money to be happy, your search for happiness will never end… you are better than that … Money can't buy life… don’t take the buyout!
Have seen multiple offers they sent out and not one could get to guaranteed pension amount with 10% returns. All were far less.
Pbgc seems to be doing fine on single employer pensions.
https://www-barrons-com.cdn.ampproject.org/v/s/www.barrons.com/amp/articles/ge-freezes-worker-pensions-what-to-do-if-your-employer-changes-the-terms-of-your-retirement-plan-51570527300?amp_js_v=a2&_gsa=1&usqp=mq331AQCKAE%3D#aoh=15710047116674&_ct=1571004771739&referrer=https%3A%2F%2Fwww.google.com&_tf=From%20%251%24s
If you do not take buyout and GE declares bankruptcy then you pension goes to PBGC which pays up to a maximum like unemployment you loose again, on top of that the PBGC is only expected to be able to continue till 2023 then you would have to hope for a government buyout they already spent that money bailing out GE and GM
So I shouldn't take it so that I can work for justice? Ha. id–t.
There are two kinds of bad investors. 1 Those that invest, get scared and sell low. 2 Those that invest, get scared and ride it out hoping someday to make back their original investment.
Don't pay attention. Don't be scared.
The first offer is always a bad offer. Wait. It will get better. Maybe not even good but better. Then get out.
By law they can't make it mandatory.
Don’t take it. Is accepting buy out mandatory?
I can start collecting my pension next year at ~$1000 per month. They've offered me a buyout of ~$120,000. I would need to earn 10% on my buyout just to match my guaranteed monthly benefit. How does this make sense?
That be like waiting on the titanic to be fixed while it’s sinking so you don’t hop on any life boats
To All the S_ervers O_f B_usiness out there - don’t take the pension buyout! If you take it, you will be living the era of The Deuce again – are you ready for that again?
Ok company man. Is that you Larry?
You’re missing the point. A buyout reduces costs for the company and offers the employee control over his pension that he didn’t have before. This isn’t an ulterior motive but more of a dose of ‘Leitmotiv’.
Spot on! This is the first time we the employees are empowered enough to make a decision that will financially impact us. I know I won't be taking the pension buyout.