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Yellow | Yellow Non Union Pension Fund declares insolvent Stops payments May 2024

The Reel Deal said:
The title pretty much says it all. Payments will cease in May 2024 and PBGC will be on hook for paying
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Shouldn't the government step in make sure they get full benefits like they did with Central States? PBGC just pays a percentage, now that we've established government policy is to fulfill all broken promises on pensions it seems like the fair thing to do.
 
SuperCourse said:
Shouldn't the government step in make sure they get full benefits like they did with Central States? PBGC just pays a percentage, now that we've established government policy is to fulfill all broken promises on pensions it seems like the fair thing to do.
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That's the non-union pension fund they're talking about here which I think is not a MEPF. If that's the case I believe different rules apply.
 
Instead of blind speculation, perhaps facts will help.
I will not reveal the name of the individual who posted this in a Facebook Roadway group. But his reputation is impeccable. And he is a participant in the Roadway pension.
It is confusing but if you read the letter carefully it appears to apply to both the YRCW and Roadway pensions plans. It appears that the plan is terminating but will be assumed by the PBGC. If you read further it states that unless your pension is more than the highest amount the PBGC can pay by law ($7107.95 a month for 2024), ones currently benefit will continue to be paid. I assume no one reading this has a pension that big so it appears that our pension will not be reduced. I called the number listed in the letter for more info this morning. There was a recorded message confirming what I wrote above. (don’t take my word for it though. Call and listen to the message yourself). The message also stated it will take months before the PBGC takes the pensions over. In the meantime the checks will continue as they have been. Even afterwards nothing will change as far as direct deposit info, beneficiaries etc. Hope this helps.
 
albag said:
Instead of blind speculation, perhaps facts will help.
I will not reveal the name of the individual who posted this in a Facebook Roadway group. But his reputation is impeccable. And he is a participant in the Roadway pension.
It is confusing but if you read the letter carefully it appears to apply to both the YRCW and Roadway pensions plans. It appears that the plan is terminating but will be assumed by the PBGC. If you read further it states that unless your pension is more than the highest amount the PBGC can pay by law ($7107.95 a month for 2024), ones currently benefit will continue to be paid. I assume no one reading this has a pension that big so it appears that our pension will not be reduced. I called the number listed in the letter for more info this morning. There was a recorded message confirming what I wrote above. (don’t take my word for it though. Call and listen to the message yourself). The message also stated it will take months before the PBGC takes the pensions over. In the meantime the checks will continue as they have been. Even afterwards nothing will change as far as direct deposit info, beneficiaries etc. Hope this helps.
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I think everybody realized this wasn't about Teamster pensions.
 
Triplex said:
That's the non-union pension fund they're talking about here which I think is not a MEPF. If that's the case I believe different rules apply.
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They do. But it's still a fund that will be taken over by the PBGC. If that results in nobody having a cut in their promised pension, then fine. If they do suffer a cut it's no different than Central States, they should be made whole. This was the moral hazard of the bailout. If the government is going to bail out private pensions with taxpayer money for one, they should do it for all.
 
SuperCourse said:
They do. But it's still a fund that will be taken over by the PBGC. If that results in nobody having a cut in their promised pension, then fine. If they do suffer a cut it's no different than Central States, they should be made whole. This was the moral hazard of the bailout. If the government is going to bail out private pensions with taxpayer money for one, they should do it for all.
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I agree with that. :1036316054:
 
SuperCourse said:
They do. But it's still a fund that will be taken over by the PBGC. If that results in nobody having a cut in their promised pension, then fine. If they do suffer a cut it's no different than Central States, they should be made whole. This was the moral hazard of the bailout. If the government is going to bail out private pensions with taxpayer money for one, they should do it for all.
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"If you read further it states that unless your pension is more than the highest amount the PBGC can pay by law ($7107.95 a month for 2024), one's current benefit will continue to be paid."
I have serious doubts that anyone receiving a pension from YRCW/Roadway is drawing more than $7,107.95.
My Teamsters Local 710 pension was NOT bailed out and in fact was/is overfunded, which resulted in our monthly benefit being increase by $500/month.
 
albag said:
"If you read further it states that unless your pension is more than the highest amount the PBGC can pay by law ($7107.95 a month for 2024), one's current benefit will continue to be paid."
I have serious doubts that anyone receiving a pension from YRCW/Roadway is drawing more than $7,107.95.
My Teamsters Local 710 pension was NOT bailed out and in fact was/is overfunded, which resulted in our monthly benefit being increase by $500/month.
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Don't you feel guilty getting more than you were promised. Wasn't that the battle cry, we should get what we were promised. That overfunding would be better spent paying the taxpayers back.
 
SuperCourse said:
Don't you feel guilty getting more than you were promised. Wasn't that the battle cry, we should get what we were promised. That overfunding would be better spent paying the taxpayers back.
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No, I don't. That raise brought me up to what my benefit SHOULD have been before YELLOW screwed everyone. I worked 30 years for Roadway/YRCFreight. My benefit is now just under $3,000/month, which was what I was promised when I went to work for Roadway.
You do realize I stated that the Local 710 fund WAS NOT BAILED OUT. Which it was NOT. No taxpayer money involved.
 
albag said:
No, I don't. That raise brought me up to what my benefit SHOULD have been before YELLOW screwed everyone. I worked 30 years for Roadway/YRCFreight. My benefit is now just under $3,000/month, which was what I was promised when I went to work for Roadway.
You do realize I stated that the Local 710 fund WAS NOT BAILED OUT. Which it was NOT. No taxpayer money involved.
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I don't understand why your 710 pension was cut by $500 if the fund was overfunded.
 
That's only the maximum amount if you chose the straight-life and you are age 65.

Here are the PBGC tables straight from their website:

Maximum Monthly Guarantee Tables | Pension Benefit Guaranty Corporation

The maximum guarantees in these tables apply only to single-employer pension plans whose benefits PBGC pays as trustee. These guarantees do not apply to multiemployer plans. Information on multiemployer guarantees is included on our Multiemployer FAQ page.
www.pbgc.gov www.pbgc.gov
 
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