Don't give away our pension!

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anonymous said:
At least half of pharma companies still offer defined benefit pensions to new employees, including big guns J&J and Merck. Lilly’s is already pretty unattractive for new employees since 65 is the new retirement age, not points.
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Do the people that got cut in the last big layoff still have the retirement point system?
 


















Retired HR Exec here with a serious answer to the question on point system retirement. The previous / prior retirement system was based on age and years of service. An employee becomes vested in the pension benefit after completing 5 years service. The employee continued to accumulate a pension by working more years. Full retirement was considered to be 90 points, early retirement was considered to be 80 points. From 80 points on, if an employee left the company he/she would receive a monthly pension and retiree medical benefits. The amount of pension is based on the earning history. Typically the benefit was based on the highest 5 of past 10 years salary. If the employee left the company prior to 80 points, he/she still had earned a deferred pension to be paid at a future date, but would not receive retiree medical benefits.

The company grandfathered employees into the prior system if the employee had 50 points when the new program was changed (roughly 12 to 14 years ago). Employees that were grandfathered could still retire at 80 or 90 points, but the pension formula was tweaked to pay out less on new earnings from that point forward. Anyone not grandfathered no longer can retire at 80 or 90 points. Rather, the standard retirement age was changed to be age 65. Employees can retire before age 65, but the pension amount is reduced each year, until age 60. It is feasible that employees can retire before age 60, but each year prior to age 60 has a much reduced pension amount.

Lots of long time employees that began their career out of college and worked their entire career at Lilly could retire at age 52 (80 points) or age 57 (90 points). Keep in mind that the "defined benefit" pension is available in addition to a very generous 401k benefit. When the new pension was changed, the company guaranteed dollar for dollar match on savings. Prior to that only fifty percent match was guaranteed, although the practice was usually 80 cents on the dollar.

With regards to job cuts / reallocations, Lilly does not consider whether an employee is retirement eligible in deciding which jobs will be eliminated. In the case of voluntary reductions in force, the company offers the exit incentive to a group of employees. If a subset are retirement eligible, they can volunteer and he/she would receive the severance incentive and then receive a monthly pension and retiree medical benefits. There are many cases in which an employee was already deciding to retire and the exit program was implemented when the employee had reached 90 points. In that case the employee receives the full severance package and full pension benefit.

Once the employee leaves the company, the retirement benefit is locked in.

Hope this helps.
 






anonymous said:
Indiana needs to elect democrats. Like NY, California: liberals are GREAT for business
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Trump may not be a model Christian, but he’ll happily fight the “war on Christmas” if he thinks it will move supporters from the pews to the polls. As Sean Spicer recently summed up the relationship between evangelicals and Trump, “That’s between him, his wife, and his God.”
 






anonymous said:
Retired HR Exec here with a serious answer to the question on point system retirement. The previous / prior retirement system was based on age and years of service. An employee becomes vested in the pension benefit after completing 5 years service. The employee continued to accumulate a pension by working more years. Full retirement was considered to be 90 points, early retirement was considered to be 80 points. From 80 points on, if an employee left the company he/she would receive a monthly pension and retiree medical benefits. The amount of pension is based on the earning history. Typically the benefit was based on the highest 5 of past 10 years salary. If the employee left the company prior to 80 points, he/she still had earned a deferred pension to be paid at a future date, but would not receive retiree medical benefits.

The company grandfathered employees into the prior system if the employee had 50 points when the new program was changed (roughly 12 to 14 years ago). Employees that were grandfathered could still retire at 80 or 90 points, but the pension formula was tweaked to pay out less on new earnings from that point forward. Anyone not grandfathered no longer can retire at 80 or 90 points. Rather, the standard retirement age was changed to be age 65. Employees can retire before age 65, but the pension amount is reduced each year, until age 60. It is feasible that employees can retire before age 60, but each year prior to age 60 has a much reduced pension amount.

Lots of long time employees that began their career out of college and worked their entire career at Lilly could retire at age 52 (80 points) or age 57 (90 points). Keep in mind that the "defined benefit" pension is available in addition to a very generous 401k benefit. When the new pension was changed, the company guaranteed dollar for dollar match on savings. Prior to that only fifty percent match was guaranteed, although the practice was usually 80 cents on the dollar.

With regards to job cuts / reallocations, Lilly does not consider whether an employee is retirement eligible in deciding which jobs will be eliminated. In the case of voluntary reductions in force, the company offers the exit incentive to a group of employees. If a subset are retirement eligible, they can volunteer and he/she would receive the severance incentive and then receive a monthly pension and retiree medical benefits. There are many cases in which an employee was already deciding to retire and the exit program was implemented when the employee had reached 90 points. In that case the employee receives the full severance package and full pension benefit.

Once the employee leaves the company, the retirement benefit is locked in.

Hope this helps.
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It does. Would an employee have been able to accumulate 50-80 points in 15 or 16 years of employment?
 






Former HR Executive. Please your opinion. Was "voluntarily "forced to early retirement when on medical leave 5 months due to cancer and undergoing chemo therapy.. They knew i was returning in 3 more months. Was told they already hired my replacement when actually had not. HR told me to take early retirement or risk let go 12 weeks later with possible layoffs. Lots of lies ++ $890/ month lilly retiree medical insurance.Now unemployed and looking. No pension for 10 years , too young. Is it really legal to lie to get someone to take early retirement or else?
 
























Lilly HR Exec comments - not knowing all the facts, I can say that an individual may be retirement eligible, but never forced to retire. That is an individual decision. Forcing someone to retire may result in a claim of age discrimination, since employees age 40 and above are "age protected" with regards to discrimination. Also, if an individual accepts severance upon leaving the company, the employee is required to sign a severance agreement and commits to not taking any future legal action against the company. If you were forced to retire while on medical leave and did not receive any severance (and did not sign a severance agreement), you may be able to pursue a legal claim - either age discrimination, or more likely American's with Disabilities Act, or Family Medical Leave Act. If you did sign an agreement, there's really nothing you can do. Good luck.
 






anonymous said:
Lilly HR Exec comments - not knowing all the facts, I can say that an individual may be retirement eligible, but never forced to retire. That is an individual decision. Forcing someone to retire may result in a claim of age discrimination, since employees age 40 and above are "age protected" with regards to discrimination. Also, if an individual accepts severance upon leaving the company, the employee is required to sign a severance agreement and commits to not taking any future legal action against the company. If you were forced to retire while on medical leave and did not receive any severance (and did not sign a severance agreement), you may be able to pursue a legal claim - either age discrimination, or more likely American's with Disabilities Act, or Family Medical Leave Act. If you did sign an agreement, there's really nothing you can do. Good luck.
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HR Exec....Does the new plan also have a 5 year vesting period or do you only get the pension if you have enough points to actually retire? My understanding was that the new plan didn’t vest you just needed to qualify.
 




































anonymous said:
News
Porn Stars, Playmates, and Prayer Circles: How the Christian Right Traded Family Values for the Cult of Trump
Trump may not be a model Christian, but he’ll happily fight the “war on Christmas” if he thinks it will move supporters from the pews to the polls. As Sean Spicer recently summed up the relationship between evangelicals and Trump, “That’s between him, his wife, and his God.”
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We're all animals...there's no god.
 






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