Bridge to Retirement and Severance

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Anonymous said:
So If 54 and 12 years and lsp will I get subsudized medical insurance. Maybe bridge was wrong term. Will I get reduced retiree rates?
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In June when you turn 55 you will be get the Merck retiree medical rate when you determine to retire. Prior to that if you lose your job you would likely be bridged based on the reason for the separation...
 




Anonymous said:
So If 54 and 12 years and lsp will I get subsudized medical insurance. Maybe bridge was wrong term. Will I get reduced retiree rates?
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The bridge retiree rates are the same price almost as cobra. I was shocked when I got the quote. $1150.00 for myself, husband and two kids. I think Merck is subsidizing their current employees with these horrible rates for "retirees" What a joke. I was so excited to get bridged and then I found out it was useless!!! Now I have to go on my new employee's plan which is about 375.00 for the same coverage.
 




I am also Leg SP, was involuntarily "retired" by Mother Merck, in my early 60's - and the above poster is correct, the Merck retiree insurance before you are Medicare eligible is very expensive, close to $1000/mo for 2 of us. And the deductible IS significant.

Once you go on Medicare, it will drop as Medicare then becomes your primary insurance and the Merck plan will then act as a Medicare Supplement plan. I have been told it will drop substantially, but with Obamacare - who knows?

AND you will then have to absorb the medicare premium as well as the supplement plan premium.

Good luck.......
 




You can call and get the exact amount your retiree medical will be. You will be eligible for up to 18 months of coverage as an "active" employee and then you will be slotted into retiree medical. Also, there is no more dental coverage. All of this is IF you are separated from the company. When you're separated, it is your responsibility to ensure that you get your information in for medical or it will lapse and you are NOT eligible to reinstate. I have mine drafted every month so no worries there.
I'm going to look at the marketplace and see if it's less - I doubt it, but it's work a look.
 
























Anonymous said:
I'm not paying anything now. I have not retired yet. From what I understand, if you are let go at 49 1/2 years or older with 10 plus years of service you get the "bridge." I had 15 years of service when I was separated.
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Yes you are bridged but the cost is ridiculous. So it doesn't really matter. Another useless "benefit" that Merck acts like they are giving you.
 








Anonymous said:
Yes you are bridged but the cost is ridiculous. So it doesn't really matter. Another useless "benefit" that Merck acts like they are giving you.
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I have friends who claim that their pensions triple at Merck when they reach 20 years of service. I can't find anything regarding years of service plus multipliers and age anywhere in the benefits. Is this an urban legend or another useless benefit? I am considering leaving (aren't we all?), but if my pension triples in four years I will try to hang on.
 




Anonymous said:
I have friends who claim that their pensions triple at Merck when they reach 20 years of service. I can't find anything regarding years of service plus multipliers and age anywhere in the benefits. Is this an urban legend or another useless benefit? I am considering leaving (aren't we all?), but if my pension triples in four years I will try to hang on.
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Yeh they watch your years of service like a hawk. 20 years is a big mark for pension. They make sure they get rid of you before you can get there. Believe me if they can get rid of you before you hit this mark they will. They will give some other reason for getting rid of you instead of one of the younger or workers with less years of service and a lower paycheck. I wish you the best but I would not count on Merck doing the right thing and your odds of getting there are slim.
 








Much of the information is not accurate. Have someone show you how to do the pension calculations and you can see what your amount is and how much it will change each additional year.
 




I checked netbenefits.com and put in july 1 st as retirement date and it said my insurance would be 1100 for me and my 2 kids. I will be 55 then with 12 years of service. Does that sound right? My friend said it should be more like what I am paying now as an employee. Does anyone know ?
 




I looked at a spreadsheet from about a year ago. For those who were 50, with 10 years of service, who were laid off and were eligible to bridge, and were NOT Medicare eligible, the "retiree" medical cost was about $1100 for a family of four or more. Doesn't sound so great to me. There is a subsidy (you are still on COBRA), where you will pay what you currently pay for benefits (Merck picks up the balance of the costs) for the length you have on your severance info. For those with 10 years of completed service, you get 52 weeks of subsidized. After that... you are paying that substantially higher rate.
 




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