Iam Pension Question

[GeezLouis]

Could someone explain to me in layman's terms what the recent letter regarding the IAM pension fund means? I've been laid off for almost three years, and I got a letter yesterday (written in lawyerieze) concerning the IAM pension fund. Something about the PBGC involvement, and a DRC payment. I'm not the brightest individual, so I'm unsure what all this means to the mechanics.

Regards

 

[aerosmith]

I,d like to think I'm an optimist, but I beleive it means Us Airways as will most big companies in the US will fund thier pensions down to 60% and eventually squirm thier way out of paying. LET'S GO KERRY!!!

 

[E-TRONS]

If it's the same letter I think you are speaking about then I can give you the bottom line meaning.

Thanks to the Bush administration and their pension relief initiatives, UAIR will only contribute 20% of the obligatory money to the pension fund for 2004-2005.

That means 80% of the pension money due to be paid into the pension will not!!! This is due to a new method of calculating interest (fuzzy math) which is a crock.

UAIR could fold in that time period and then the PBGC will be stuck holding the bag. And where does the money come from when that happens?? You and I.....the taxpayers.

Happy retirement.

 

[Smartest Loser]

The way I took was....

" The handwriting is on the wall IAM, your pension's next".

 

[Winglet]

And Mr. Bush out of one corner of his mouth says, "SAVE MORE!!" and then "HEY, SPEND MORE TO GET THE ECONOMY MOVING!!" Well, I don't think he's kidding about the save more bit . . . . . he knows his CEO pals want to kill pensions . . . . after all, they don't have those things in Bangladesh, India, or other such places.