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FedEx Freight | Pension for Fed Ex Frt.

Merdock said:
a little background, I have been with Con-Way 17 + years, contributing 15% to my 401 all that time, very conservatively. In September I spent half of a day on line with our plan administrator site and their tools. I moved, adjusted and modified my plan. The recommendation was to diversify and build a plan of mixed investments that mirrors the S&P 500. I started 2006 with $200,000 saved and the first three quarters of the year each produced on average $2000 in interest (gains). After all my time in self-education of the plan and following their suggestions, my Fourth quarter of 2006 produced over $10,000 in gains. I am very happy with my new elections.

lesson learned... all the tools are available to help you with your retirement. Find the time to learn for yourself

see ya down the road
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wow i thought i was doing good thats a real kick in the :nutkick:
 
So you've surrendered...

It sounds as though you've surrendered to fighting fido for the dog food in your old age! If you're unable to manage your own 401 (k), then hire someone qualified to do it. It's not as expensive as you think, and can make a world of difference in how you retire.

MrFxFw




FredEx said:
I think too many people are confusing this pension with the pensions of yesteryear that our fathers recieved at retirement. Hate to say it but those days are gone.
Guy who explained things things to us stressed the fact this pension was just to supplement our other retirement plans.
Pension + 401-k + Social Security + any IRA's should keep roof over our heads after retirement. Might not be able to heat it or buy gas to get to grocery store but we'll have a roof.
Myself I don't like the 401-K. Not that it doesn't work. I along with a lot of others don't know the difference between a mutual fund or a stock dividend. I have no business being responsible for my own retirement. Yeah I've had financial guys go over it with me and tell me what to do. But still. For all I know he's buying lottery tickets with my money.........
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O.K. Smokey, I know what your saying, BUT, Think about it--401 is subject to fluctuate with the market and you can loose lots of investment!! I say roll it all over to the pension fund and keep the procedures the same as the 401, in other words,the contributions,match and all but make it with NO Risk of losing your money (like a savings account).
 
gem,

You can do that with the 401k just sell of all of your shares in the other 401k funds you have and then buy in on the money market funds. These funds are similiar to what they are doing in the pension fund, they limit your exposure to risk. The only reason the money market funds are in most 401k's is for the person who is getting ready to retire to lower their exposure to market fluctuations or someone who is not a risk taker.

The other part of your statement may have a problem, I think the way 401k plans and pension plans are regulated is totally different.
Ever since the Enron disaster and the passing of the Sarbanes-Oxley act, the pension funds have some serious oversite, along with severe penalties for those who violate the law. According to what some of the HR types have said at meetings, this act was the reason for the delay in implementing the pension at an earlier date. They now have to cross a lot more t's and dot quite a few i's.
 
Once the paper work starts hitting the houses we will see it fire up again my friend.
 
Why the company changed (IMHO)

Here's the long and short of why the company adopted a pension plan from what I can see. For starters I received my RSP info pack and beneficiary designation form today in the mail. The only real benefit that stands out here is for the company. Fedex now gets to keep the money it was putting into your 401K every week for the whole year. Now, instead of you earning interest or stock market gains on that money, Fedex can invest it or use it for operations, keep the profits they earn on it, and pay out the base rate at the end of the year. This will likely fund this plan almost fully and save the company Billions of dollars. This in it's self would not be a bad thing. I am in favor of the company making lots and lots of money so that we can continue to grow and be profitable for our shareholders. This also allows for the equipment and other benefits etc.. However, our investments are now going into treasuries which traditionally have one of the lowest rates of return in the entire universe. While this may have been necessary to get the plan approved by Uncle Sam, I would have been much happier letting the company hold my funds for a year and then having them put into my 401K. We also lose the benefit of the compunding effect of our money being invested weekly.

AS Treasuries are usually very stable, one strategy for those of you who keep track of your 401K investments could be to lower the amount of funds you have going into Bonds by 2-3% and shuffling this money into higher risk/reward funds. If you are already 100% stocks you may want to consider raising your weekly contributions to the 401K by a percent or so to make up the gains loss you will be experiencing from the compensatory funds being redirected to the RSP.

The overall plan (IMHO) isn't all bad. You do receive greater company contributions for years of service and the base rate of 3% is better than the 2.5% they were giving us in the 401K. Treasuries should also add some stability and a hedge against losses we experience when the market goes south. In the long run I guess our biggest loss was the freedom to invest our money the way we wanted to. With a little tweaking of your 401K funds, you may not even notice. Just dont forget to figure in the value of your RSP at year's end when you compare one year to the next.

I do believe that what benefits the company will benefit all of us in the long run. That is another positive aspect to this plan.
 
Uncle Stumpy said:
Here's the long and short of why the company adopted a pension plan from what I can see. For starters I received my RSP info pack and beneficiary designation form today in the mail. The only real benefit that stands out here is for the company. Fedex now gets to keep the money it was putting into your 401K every week for the whole year. Now, instead of you earning interest or stock market gains on that money, Fedex can invest it or use it for operations, keep the profits they earn on it, and pay out the base rate at the end of the year. This will likely fund this plan almost fully and save the company Billions of dollars. This in it's self would not be a bad thing. I am in favor of the company making lots and lots of money so that we can continue to grow and be profitable for our shareholders. This also allows for the equipment and other benefits etc.. However, our investments are now going into treasuries which traditionally have one of the lowest rates of return in the entire universe. While this may have been necessary to get the plan approved by Uncle Sam, I would have been much happier letting the company hold my funds for a year and then having them put into my 401K. We also lose the benefit of the compunding effect of our money being invested weekly.

AS Treasuries are usually very stable, one strategy for those of you who keep track of your 401K investments could be to lower the amount of funds you have going into Bonds by 2-3% and shuffling this money into higher risk/reward funds. If you are already 100% stocks you may want to consider raising your weekly contributions to the 401K by a percent or so to make up the gains loss you will be experiencing from the compensatory funds being redirected to the RSP.

The overall plan (IMHO) isn't all bad. You do receive greater company contributions for years of service and the base rate of 3% is better than the 2.5% they were giving us in the 401K. Treasuries should also add some stability and a hedge against losses we experience when the market goes south. In the long run I guess our biggest loss was the freedom to invest our money the way we wanted to. With a little tweaking of your 401K funds, you may not even notice. Just dont forget to figure in the value of your RSP at year's end when you compare one year to the next.

I do believe that what benefits the company will benefit all of us in the long run. That is another positive aspect to this plan.
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Uncle Stumpy what center do you work at that got its paper work already? I didn't expect to see anything untill just before our raise in june!
 
Uncle Stumpy quote-
''I do believe that what benefits the company will benefit all of us in the long run. That is another positive aspect to this plan.''

I too want to believe this,but sometimes what's good for the company doesn't always trickle down to the employees. Too often, it falls into the pockets of executives,in the form of bonuses, for money they skimmed off there employee's...

But hey ! Uncle Stumpy Quote- '' With a little tweaking of your 401K funds, you may not even notice.''

I'm sure the company, in all there Corporate Greed is banking on that!
 
i even got paperwork for the pension plan ... i thought they sent it to me by mistake ... i didnt think i was eligible, but with 3 years of service and over 1000 hours a year as a PART TIMER - im game!!! So im gonna let em start it for me since i am still in a FedEx Controlled Group i can do both 401k's and Pensions for both FedEx OPCO's ... go really agressive on the FDCC one and let the Freight one just sit there and grow moderately so no new funds are being added to it i guess?

Rob
 
pension

I wish they would just increase the 401K match and the discresonary. This would benifit me more at my age (almost an old fart) than the pension plan will when the time comes that I can tell them where and how they can park that truck. I didn't understand why we needed a pension plan anyway. I think they should have asked us which way we would like to participate, increase the 401K or go pension.
This leads me to an important question I would like to ask. Exactly at what age do you become an old fart?
 
militaryman4 said:
i even got paperwork for the pension plan ... i thought they sent it to me by mistake ... i didnt think i was eligible, but with 3 years of service and over 1000 hours a year as a PART TIMER - im game!!! So im gonna let em start it for me since i am still in a FedEx Controlled Group i can do both 401k's and Pensions for both FedEx OPCO's ... go really agressive on the FDCC one and let the Freight one just sit there and grow moderately so no new funds are being added to it i guess?

Rob
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MILITARYMAN: I`M ON THE XPRESS SIDE, THERE ARE A NUMBER OF P/T EMPLOYEES THAT HAVE BEEN WITH THE COMPANY FOR QUITE SOME TIME AND DON`T REALIZE THE EMPHASICE OF 1000 HOURS A YEAR. THAT IS IMPORTANT. I`VE BEEN WITH EXPRESS FOR 5 1/2 YEARS BUT ONLY ACCREDITED FOR 3 . YOU HAVE TO AT LEAST AVERAGE 4 HRS A DAY. THAT IS A JOKE. YET IT IT IS WHAT THE CORP. DEMANDS BIG QUESTION. WHAT IF YOU DON`T GET 4 HOURS A DAY ? MANY REASONS WHY YOU MIGHT NOT BE ABLE TO.:hide:
 
Smokestack said:
So Con Way dumps the pension , why do we need or want one ?
I still say make some larger company matches or some improvement to our 401K and let it be.
Ok guys what do you all think about this?
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FIRST HELLO THERE SMOKESTACK::::::::::::COMPANIES REMOVE PENSION PLANS IN ORDER TO TAKE THE BURDEN OF EMPLOYEE RETIREMENT FROM THEM AND PLACE IT ON THE EMPLOYEE. ANOTHER SIGN OF CORP. GREED THEY ALREADY DON`T COMPENSATE US ENOUGH,YET THEY ARE DRAINING AN EMPLOYEE OF FUTUREISTIC RETIREMENT FINANCES. THIS CROSSOVER INTO THE 401 K AND LESS CONTRIBUTION FROM THE COMPANY AND MORE FROM THE COMPANY IS EVIDENT. COMPANIES DON`T GIVE A DAMN THERI WORKERS AND THE FEDEX CORP. IS OBVIOUS FROM EXPRESS, FRT,GROUND,HM DEL.. CONWAY IS JUST INITIATEING OR CONTINUATING THE PROCESS OF COMPANY GREED...........I AM NOT A DISGRUNDLED EMPLOYEE, JUST ONE WHO SEES AND REALIZES THE TRUTH. AFTER DRIVING FOR OVER 25 YEARS T/T, NOT EVER GOTTEN FIRED, AND WORKING FOR MOST OF THE BOTH UNION AND NON-UNION COMPANIES, IF ON CAN`T SE THE TREND , THEN SHAME ON THEM:hide: :smilie_132:
 
Old Fart?

This leads me to an important question I would like to ask. Exactly at what age do you become an old fart?[/QUOTE]

What ever your age, "Old Fart" is 5 years
older than you are now.:1036316054:
 
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