XPO | 5% give back, lose 401K match....

if they truely were just trying to switch the pto/vacation set-up to the new style then it would start april first not jan. first. think of your vacation time as an empty glass, every jan. it refills to be used throughout the year, but always getting refilled at the same time. so now, using the same example your glass will be empty jan. 1st and will not be full, providing you dont take any days until dec 31st 2010 instead of jan 1st 2010.
 
Wow. After reading all thats going on I'm glad I was laid-off in January. I don't care if I never make the kind of money I did working at con-way again. I understand the economy is in the sh#ter but it's because of moves like this that's put it there. Too much greed. Our children's children will be telling stories about this. Sorry grandpa couldn't be here for this. He's only 95 years old and is still out there working for con-way tring to pay for his medications since they won't let him retire. What a joke.
 
i hope bankrupt will back me up on this.... con-way is the best carrier to be employed with considering the market today. i dont mean to be a nay-say-er. but..... conway has supplied you with everything they have for YEARS without gripe about union conflicts or non-union sufferings. granted the pension is gone. look at it this way, if you worked for american freight, you never received a pension in the first place. so as far as im concerned, whats the big friggin deal?????? all i know is that i work for another non union carrier, and im the same boat as alot of the 5-yr employees at conway frt. are also.. i hope i have a job...i hope i have job... i hope i have a job.. . :popcorn:
 
"quit yer bichin" i hope bankrupt will back me up on this.... con-way is the best carrier to be employed with considering the market today. i dont mean to be a nay-say-er. but..... conway has supplied you with everything they have for YEARS without gripe about union conflicts or non-union sufferings. granted the pension is gone. look at it this way, if you worked for american freight, you never received a pension in the first place. so as far as im concerned, whats the big friggin deal?????? all i know is that i work for another non union carrier, and im the same boat as alot of the 5-yr employees at conway frt. are also.. i hope i have a job...i hope i have job... i hope i have a job.. . :popcorn:

and thats the bottom line
 
I'm sorry to see this happening to a bunch of good people. My question is this, the five percent give back how was it taken? Was it only on the hourly wage or if you are a road driver did you give five percent on mileage as well or is it based on yearly wages or a combination of the two, it's kinda vague but tragic none the less. Inquiring minds want to know, I have friends at other carriers who are concerned as well because we all know that when one carrier does something like this the others follow suit. Good luck to you all and hang in there it's going to be a bumpy ride.
 
These actions are designed to ensure we continue to maintain the strongest financial foundation possible during these unprecedented economic times," Chief Executive Douglas W. Stotlar said in a statement. Stotlar said the cuts will be reevaluated when the economy recovers.

Stotlar said tonnage at Con-way Freight declined 12.5 percent year-over-year through February. He said the market isn't expected to change soon and the company needs to control expenses to protect market share and conserve capital.

This is in Yahoo Finance. Freight levels down only 12.5 % from last Feb. Sounds like their running scared. They have been wanting to do this for a long time. Every video I have seen they keep cramming up your a** how much money the employees cost them. In rough numbers all together it's costing us @ $10,000 a year in our benefits. Between the loss of what vacation we have EARNED, company match to our 401K, Pension and your 5% in wages. You'll never see it come back either because they will see how much they can save in labor cost.
 
"quit yer bichin" i hope bankrupt will back me up on this.... con-way is the best carrier to be employed with considering the market today. i dont mean to be a nay-say-er. but..... conway has supplied you with everything they have for YEARS without gripe about union conflicts or non-union sufferings. granted the pension is gone. look at it this way, if you worked for american freight, you never received a pension in the first place. so as far as im concerned, whats the big friggin deal?????? all i know is that i work for another non union carrier, and im the same boat as alot of the 5-yr employees at conway frt. are also.. i hope i have a job...i hope i have job... i hope i have a job.. . :popcorn:
:hide:
What in the HELL are you doing on here, telling us to quit *****in', when you work for some other scumbag company?
Walk in my shoes before you tell me what to think!:smilie_132:
 
I'm surprised no ones mentioned this yet. John L. said these cuts would save $100million this year, and ICP would not start accruing until we reach that $100 profit mark. Well, there's your $100 and let's see if he keeps his word about the ICP. (doubt it)
 
I'm surprised no ones mentioned this yet. John L. said these cuts would save $100million this year, and ICP would not start accruing until we reach that $100 profit mark. Well, there's your $100 and let's see if he keeps his word about the ICP. (doubt it)

Well...maybe. But if it saves $100m off the bottom line after showing a loss of $25m - then that's only $75m profit, so no ICP. It all in the numbers game. :duh:
 
I'm surprised no ones mentioned this yet. John L. said these cuts would save $100million this year, and ICP would not start accruing until we reach that $100 profit mark. Well, there's your $100 and let's see if he keeps his word about the ICP. (doubt it)

The entire first quarter is gone already...saving 100 million doesn't automatically convert it to profit..our bigger problem was/is the decreasing revenue driven by lower fuel surcharges and very intense/desperate pricing going on out in the street right now...
100 million annually is 8.5 million monthly...if we are losing at a 10-15 a month clip, this only fixes part of the problem, for the moment..
 
do not forget up to 11% that the older guys are giving up from their pension (basic, and transition) from the penions, figure with the 5% wage reduction that comes to 13% cut for us older guys, so the way I look at it , you guys with the 5% cut should be happy
 
I would reply to this, but it would only be blocked by wondering........the truth hurts, The dream is dead. Now it is just plain survival. Cant wait for that gold plated diecast truck to come out. The silver one is beautiful.
 
I knew the transition contribution would not last. No one would listen to me about losing the pension. All a bunch of lies.........
 
.

To work for a company that has their employees interest at heart. By doing these cutbacks they are virtually saving this company from going out of business and pretty much saving all of our jobs. We will now be the leaders in the LTL business and the strongest financially. Stay positive, be proud that you are doing your part to help out. Be glad you have a job! Plus we still have our ICP. If we all pick up our pace and be better employees, we can get next years ICP over the top and make up for the wages and company matched 401k contributions we just lost. Plus this will help Conway stocks soar. Its a win, win situation.

Are you serious? I don't work for Conway, but wow! If you think ANY corporation has their employees interests at heart, you need to remove those blinders. You're just a piece of meat to them and nothing more.

The sooner you understand your position in the pecking order, the sooner you'll have a firmer grasp on reality. They would cut your pay in half if they thought everyone would stick around.

You must be Conway management. I say that because a regular worker Joe couldn't have said the above without throwing up in their mouth a little bit.
 
Con-way Announces Expense Reduction Initiatives
Outlines Broad Actions to Reduce Costs and Maintain Strong Cash Position

SAN MATEO, Calif. — March 9, 2009 — Con-way Inc. (NYSE: CNW) today announced a series of proactive measures being taken to enhance the company’s position in the challenging operating environment. “These actions are designed to ensure we continue to maintain the strongest financial foundation possible during these unprecedented economic times,” said Douglas W. Stotlar, Con-way president and CEO.
Stotlar noted that the less-than-truckload (LTL) market remains hampered by soft demand as well as excess capacity, which year-to-date through February, caused tonnage at Con-way Freight to decline approximately 12.5 percent year-over-year. “With these market conditions, which we don’t expect to change in the near term, there is too much capacity chasing too little freight, so we have to manage accordingly,” he said. “We’re taking prudent steps to control expense, protect our market share, and conserve capital.”

The cost reduction actions, which are projected to save between $100 million to $130 million in 2009, include:

Suspension of certain 401(k) contributions including the company match.

Reduction of 10 percent in the salaries of Con-way Inc. President and CEO Douglas W. Stotlar and certain other members of the senior leadership team.

Base wage and salary reductions of 5 percent for all other executives and employees at Con-way Freight and Con-way Inc., including administrative services and trailer-manufacturing entities.

A change in vacation/paid time off policies (PTO) at Con-way Freight and Menlo Worldwide with respect to when PTO hours are earned and recorded as expense.

A change in Con-way’s primary defined-benefit pension plan, which eliminates a provision for retirement benefit increases based on future increases in employee compensation rates.

A reduction of 10 percent in the annual retainer paid to non-employee members of Con-way’s Board of Directors.

Implementation of the cost-saving measures will be completed early in the second quarter, and are in addition to expense reduction actions the company took in the fourth quarter of 2008.

Those actions included workforce reductions of 2,500 positions, suspension of merit-based pay increases, reduction in capital expenditures and other spending cuts.

Stotlar added that once the economy begins to recover and business returns to more normalized levels, the company will revisit its actions.


....stock closed at $13.20
 
The very top of the management team to have to give an undisclosed amount?

As you saw in the Company Update video today, these challenging times are creating economic conditions which require proactive steps to reduce costs and conserve cash. These sacrifices will give us the financial strength to act as our own bank as we continue to manage through this recession.

Excess capacity and deepening negative market conditions require additional measures
We have made difficult decisions to bring our costs down to a level designed to get us past this economic downturn. These changes are:

Paid Time Off (PTO) Policy Changes
We are adopting a PTO policy similar to that of Con-way Inc. Instead of accruing time off from the prior current year to be taken during the following year, we will earn and use vacation during the same calendar year.
This accounting change will not impact:
The annual combined PTO and vacation days you currently earn and
The amount you can bank based on your company tenure and
The vacation and PTO you currently have for 2009, which was earned in 2008
This new policy begins April 2010.
For time off scheduled in early 2010, the HR team is working on a practice to allow employees to do so prior to earning enough time off to cover it. The employee’s bank would be negative until time worked offsets the negative balance.
Additional details about the updated PTO Policy will be communicated in an HR Policy Update at your location in the next few weeks.

401(k) and Pension Changes in the U.S.
Con-way will be suspending company matching contributions to employee 401(k) accounts as of
the end of April.
The 3% Basic contribution to the 401(k) enacted through the pension plan changes of 2006 will remain in effect and will now be made in Con-way Common stock. Basic contributions of 4% and 5% will be suspended effective April 1, 2009.
The Transition contribution will be suspended effective April 1, 2009.
For those employees in the Con-way Pension Plan, only compensation earned through April 30, 2009 (instead of 2016) will be considered in calculating your benefit. You will never lose any pension you have accrued.
Company contributions to 401(h) Retiree Health Plan Savings accounts for 2008 and 2009 will be suspended effective immediately.
Canadian Pension Plan Changes:
We will be suspending company matching contributions to Optional Contributions as of May 1, 2009.
The Basic Required Contributions of 2% up to Years Maximum Pensionable Earnings (YMPE) and 4% in excess of YMPE will continue to be matched 100% by the Company.
Additional Voluntary Contributions will be permitted up to 8% of pay (instead of 4%), and any future Optional Contributions you make to the plan after May 1 will be treated as Voluntary Contributions.

**Please note: Detailed information about 401(k) and pension changes will be arriving in the next issue of Routes, which will be mailed Tuesday to your home address.

Wage reductions
Effective March 29, 2009, all employee wages at Con-way Freight will be reduced by 5%. This will affect paychecks beginning April 16.
Employees on Short or Long-Term Disability or Military Leave will not see a pay-reduction while on a qualified leave status.

Tuition Reimbursement
Effective immediately, Con-way will suspend tuition reimbursement. Those individuals currently enrolled in an approved course will be reimbursed if previously committed.
Course enrollment beyond the current quarter/semester will not be reimbursed until further notice.

Tough times don’t last. Tough teams do.
These changes are difficult and were only enacted after careful analysis of all our options to conserve cash. We remain committed to minimizing the impact on individual employees to the extent possible and we recognize the pressure it places on you and your families. The best way to ensure our success is to stay focused on our strategy and mission of delivering the best LTL performance in the marketplace. Thank you for all you do to take care of our customers and our company.
 
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