Retiree Group Slams GM Attempt To Buy Out Pension Plan Because It Involves Real World Risks

The General Motors Retirees Association is protesting GM's plan to buy out pensions of up to 42,000 U.S. salaried retirees and move other retirees to an annuity program controlled by Prudential Insurance Co. of America.

The association calls GM's decision "galling" and says it threatens retirees' financial security. In a letter to GM Chairman and CEO Dan Akerson, signed by association president Jim Shepherd of Scottsdale, Ariz., and posted on its website, the group asks GM to reverse course.

"By eliminating this large class of salaried retirees from the pension plan, you are abandoning the hard-earned benefit of an ERISA-protected pension promised to thousands upon thousands of GM retirees in return for their commitment and loyalty," the letter reads. "This surpasses basic unfairness; indeed, it is sheer irresponsibility and greed."

TehShibbs - 6/19/2012 5:35:21 PM

+1 Boost

GM isn't FORCING it. It's giving the people an OPTION to have a lump sum of money, or continue getting salary.

emie0429 - 6/27/2012 5:33:29 AM

+1 Boost

The General Motors (NYSE:GM) Pension Buyout plan, announced on June 1, stated that GM plans to cut their pension liability by an expected 26 billion dollars. Select salaried U.S. retirees will be offered a lump-sum, with other retirees being offered a monthly pension payment. Making this decision will involve considering initial eligibility and a full understanding of the two options, including the consequences therein. Consulting a qualified financial advisor is suggested. For more information, including a free white paper, on the General Motors Pension Buyout, please watch this video http://www.youtube.com/watch?v=32ZRne7AoTQ&feature=youtu.be for more infomations. The decision deadline will be July 20, 2012.