I think there is some bad info being posted here about the PBGC. They have a max rate they will guarantee per month and it depends on your age. Also, it appears that a surviving spouse would only receive 50% of the pension, GE's plan let's you chose between 100 to 50%.
Bottom line for many who have been with GE for a long time, it is likely less than what you expected or planned for. https://www.pbgc.gov/wr/benefits/guaranteed-benefits/maximum-guarantee
The real point here is that you should limit how much you rely on others to take care of you. Diversify as much as possible and be/get debt free. If you get the pension then great. If you don't you will still be ok. The future is full of risk because everyone seems to be looking to someone else to pay their way. Would you really be surprised if any organization wasted your retirement money. I know I wouldn't. Best of luck sincerely.
Can someone explain in detail what the poster meant about setting up corporate to file bankruptcy and how it was related to GE Transportation and Appliance spin-off to Wabtec and the Chinese. How does that affect the pension GE owes me?? I’m confused brothers..
Someone said the guarantees were substantial. So I looked it up. Well guaranteeing my pension up to $72,000 a year and seems pretty substantial to me.
@mbs - the PBGC numbers are maximum amounts. If it came to that they would be as much as PBGC would pay you, you won't get more than your GE pension in any case and possibly less.
Who does not think that GE may sometime in the future structure a bankruptcy of "Corporate" while keeping each of the individual businesses alive in order to just screw over those with a Pension along with trying to get out of the mess with Long Term Care Insurance.
Nothing is off of the table. This is exactly why GE was allowed to do the reverse Morris Trust sale for Transportation. This was part of how they got away selling the Appliance business to the Chinese and letting them use the GE Name for 40 years. This is how GE was allowed to do quite a bit under Immelt and Welch.
Nothing is off of the table. Do not be surprised. Do not put all of your eggs in one basket.
It insures $6,107.06 guaranteed? if I retire at 67 and leave my wife with 50%? That's more than $72,000 a year.
How many "guarantees" have there been that aren't guaranteed anymore?? If you're under 40, you're a fool to think the pension you're being told will be waiting for you today, will be there two decades from now. Hell, you're an even bigger fool if you work at Schenectady and think you'll live long enough to see what's left by then!
@gds the rules are complicated, but in general this government / PBGC page can help...
https://www.pbgc.gov/wr/benefits/guaranteed-benefits/maximum-guarantee
How much of my pension is guaranteed by the PBGC?
PBGC only comes into play in a bankruptcy (which ain’t happenin’). GE cannot cut your earned pension, only a bankruptcy can. The guarantees by PBGC are substantial...take a look at their website.