If I don't take the ERP package, will I be laid off later?
Intel is continuously evaluating its business needs and strategies, and We may take further actions in the future to achieve those strategies in accordance with the local law. Those impacted by the future strategies and initiatives may not receive the packages comparable to the ones currently being offered.
@Take It --- I hear you. Good luck to you and your kids. The ADEA law is supposed to care about 50 year olds, but there are loopholes and workarounds. Although it might not help you personally, the head of the Wage and Hour Division of the Department of Labor might appreciate a letter from you. The Department of Labor could start an investigation, but it won't help you keep your kids fed in the meantime. Intel knows the laws and their workarounds. Besides, they're saving the Social Security Administration a lot of money by cutting an older worker's wages 3 or more years before retirement. AARP take note. Shame on you, Intel.
@itfo
Following your line of reasoning, the advertised retirement benefits may be enhanced in the future. It would accomplish two things:
1 - Make Intel look more attractive to recruits, even though few of them would ever collect anything from it
2 - Give a bigger share to those at the top at the expense of the 99% that never get anything
Therefore I think you are absolutely correct in your assessment
@1tfo - brilliant note.. I'm one of the lucky ones. ERP and >59 years old and >30 years at Intel
Very, very few people will be retiring from Intel in the near future.
Think about it. Once they have established that the "Time in grade" criteria is legal, then how many people are going to keep rising long enough to make it to retirement? If you start as a grade 5 in your twenties, you better be a grade 11 by the time you're 50 or you're ISP'ed somewhere along the line for too long in grade. It's the same if you come in older at a higher grade.
It's a clever way to virtually eliminate the general population from receiving any of the remaining retirement "benefits" such as they are.
@fjl - Totally agree with you on whose to say that they won't change the qualifications for retirement. While preparing to press the button for ERP, I was reading through material last night and was very surprised to see that Intel does not contribute at all anymore to Serma for newer employees and that they have cut off additions to the minimum retirement plan for grades 7 and above. Do employees realize that Intel is making these changes? I sure didn't. So yes, it is very possible that Intel will continue with these kinds of changes. I was planning on working for a few more years, but that ERP is too good to pass up.
Can someone explain eligibility for the min retirement plan? Can you really pull and annuity out if you are separating from the company even before retirement? I have been around since 96 looking to take vsp and don't want to leave any money behind. I've read the documentation but there are missing numbers to do the calculation. Thanks
Why people keep mentioning only old white males are at risk? All non-URMs are in the same boat which includes Indians, Asians and middle Easterns too. With the goal of having around 30%URM in USA by 2020, lot of non-URM will have to be fired. In my team HR vetoed against hiring two well qualified candidates, white & Indian forcing to hire two dead-weight blacks, who are not even in the same field who will require years of training to contribute. In the meantime, two very strong contributors, again White and Indian, both in 50's, we're walked out. Anyone for descremination class action?
Everyone wants you to take it. BK and HR are hoping for their selfish sake more than their estimate take it. They get rid of > 12k can claim huge savings, make big write off, shuffle their favorite cronies into new jobs and start wasteful empire building again. All the ERP that stay continue to be old overpaid and collection fat pay check. Everyone wins except for poor old 50 year old white male who has kids to put thru school, underfunded retirement and for the most part specialized skills few others want, but who the f--- cares about them!
Who's to say they won't change the qualifications for retirement?
They've already cut off additions to the minimum retirement plan for higher grades. They don't contribute to SERMA at all for newer employees.
You may walk in one morning to find that 55 and 15 no longer applies or the rule of 75 only applies if you are 60 or older. Do you honestly believe you will ever get a deal as good as what the ERP offers now?
Take the bird in hand my friend. Don't let them burn you later because you have hope that somehow this will get better.
When I looked at everything the ERP included it came out to a lot more than one year of of base pay equivalent, plus the year and a half of insurance. This put me over the top as far as what I needed for a comfortable (not extravagant by any means) retirement. But it also put me in a position where I can choose to work again doing something that I will enjoy without having to stress over the magnitude of the pay.
Don't be stupid. Take the ERP.
Depends on your definition of close.
I don't know why people who are close to retirement won't take the ERP especially it being such a great package. I believe ERP folks will be hit first because they have a better package..
Once you are qualified for retirement you cannot lose it - serma, accelerated vesting for one year should not go away. Today they are sweeting the deal with extra pay per years of service which is clearly something that could go away.
I would say 45+ at this point, they are cutting deep and we wont know how deep until at least end of June...
If you are a white male over 50 and were offered both VSP along with ERP, take the ERP. Writing is on the wall and you are taking a huge gamble.