Very clear the company will do away with the pension soon. Plan accordingly.
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Most employees are not covered by a union here
Is the pension a negotiated item between the union and the company? I know locally it is not in our contract.
The company can choose to get rid of the pension anytime they want. Union support among the ranks is not what it used to be. Who is going to pay for momma’s new BMW and my F250?
Employees are stretched thin.
Difficult but not impossible. Everyone will know the answer to this question when the next union sits down to negotiate a contract with XOM, and the company brings terms for eliminating the pension to the table.
ExxonMobil unions make it very hard to eliminate pensions. So, expect pension cost minimization by cutting the number of people who get to the pension max (ie move jobs to India) and the number of people with a high 3 year max (move jobs to India) and overall number of US pension jobs (move jobs to India). For the jobs that cannot be done in India, then cut the number of executive and High CL positions.
@bz True. Actually, keeping the pension is probably cheaper for XOM. The pension liabilities only really stack up when people make it to retirement since the formula is significantly less expensive without retirement status. With PA the way it is, VERY FEW will make it all the way there. If they dropped the pension they would likely replace it with a higher 401k match like other companies have done which might actually cost them more as it is more of a “pay as you go” situation. By keeping the pension and PIP-ping everyone out, they can claim they are providing a benefit without actually ever paying much out.
With greater than 50% of new hires leaving before they hit five years and everyone else soon to be PIP’d out, the they’ve already saved all the future costs without the need to cut the pension. (hope you are reading this HR. No need to do extra work to actually cut it, when you’ve already saved the money)
Do you really think someone from the auto industry and his cronies wants to keep the pension?
Rumor mongering. This rumor surfaces every year or two since COVID.
How would a low level person like you know? I hope the company will do away with you soon. NSI!