1114 Retiree Benefits Filing

[Kellerguy]

For those already retired, this affects you. Filing today proposes to eliminate all medical health and welfare and life insurance. This is worse than for current employees just revised retiree medical, where future retirees will have to pay 100% of their insurance costs, but still remain in the company plan. Jetnet says it is the same as offered to current employees when they retire. My bad.

 

[Raptorman49]

For those already retired, this affects you. Filing today proposes to eliminate all medical health and welfare and life insurance. This is worse than for current employees just revised retiree medical, where future retirees will have to pay 100% of their insurance costs, but still remain in the company plan. Jetnet says it is the same as offered to current employees when they retire. My bad.

I knew that was coming, sucks for the people already retired because their cost's just went Way up !

 

[jimntx]

Hey, we gotta pay for those post-BK bonusses one way or another.

 

[TWU informer]

This is so they can go ahead and refund 100% of your prefunding and attach it to a yes vote on the new deals.

 

[Zom JFK]

Didnt United pull the same crap when they went bankrupt? Jacking up the retirees healthcare costs even if they were already out?

 

[NYer]

I don't believe this is the 1114 filing. It reads as if they are suing to eliminate the retiree benefits instead of filing the 1114. The filing is in the AMR Case Info site and it references other statutes, but not the 1114.

 

[odie01]

462.00 per mo. per participant! This alone should be an automatic vote NO to any agreement brought back by the twu. I say keep voting NO, and keep negotiating in bancruptcy. Over 5 bil. in cash, and big profits around the corner, how will that look to the judge 6 months from now and still in BK court?

 

[700UW]

They did it to our retirees at US, they can file with the IRS for the HCTC.

 

[700UW]

And what are you going to do at AA?

Ok, so your gonna take on the court and congress cause the law allows it and there is nothing you can do.

Nothing, keyboard warrior.

Have fun in the cornfield.

 

[odie01]

This proposal from AA is to the retirement committee: Laura Gladding APFA, Sovich APA, and some idiot named Gless for th twu. Let's hope the village idiot takes some notes from Gladding and Sovich.

 

[Kellerguy]

They did it to our retirees at US, they can file with the IRS for the HCTC.

AA retires won't be eligible for the HCTC. US retirees were only because their pension was taken over by the PBGC, one of conditions for eligibility.

From IRS website "​Individuals
1. How will I find out if I am a candidate for the HCTC?
You will receive an HCTC Eligibility Kit in the mail once the HCTC Program is notified by your state workforce agency or the PBGC that you may be able to receive the tax credit.
If you lost your job due to foreign trade, you must apply for TAA benefits at your local employment, One Stop, or Career Link office after your company has been trade certified. Visit the Service Locator website to find the closest local employment office to you. If operation of your company's pension plan has been transferred to the PBGC, you must work with the PBGC to begin receiving pension payments. In either case, the state or the PBGC will need to transmit your eligibility record to the HCTC, after which we will mail you an HCTC Eligibility Kit."

 

[AA89]

I saw a recent picture of Whoreton today.
It looks like small horns are sprouting from his scalp just inside the hairline.

 

[FWAAA]

I don't believe this is the 1114 filing. It reads as if they are suing to eliminate the retiree benefits instead of filing the 1114. The filing is in the AMR Case Info site and it references other statutes, but not the 1114.

Yes, AA is arguing that it can unilaterally terminate the medical coverage because it reserved the right to modify or terminate it and that it never promised any benefits for life:

http://www.reuters.com/article/2012/07/06/amr-labor-idUSL2E8I6J1620120706?type=companyNews&feedType=RSS&feedName=companyNews&rpc=43

http://www.amrcaseinfo.com/pdflib/3462_15463.pdf

 

[JABORD]

AA retires won't be eligible for the HCTC. US retirees were only because their pension was taken over by the PBGC, one of conditions for eligibility.

Thank you! I lost count on the number of posts from UW that he references the HCTC. IRS site clearly states prerequisite for HCTC qualifying is to be recieving pension administered through PBGC. This filing goes beyond what makes for sound business strategy. This is an attack on the previous generation of labor that will most likely get no sympathy from the current labor groups since we have our own battles to deal with. The real tragedy here is that if the teamsters were the present representation under this scenario, Our current retirees would have their hands tied on the ability to return to work to obtain replacement health care. Teamster 'Return to work rules' are very restrictive and 'approval' would most likely require the suspension of a retirees pension check.

 

[BoeingBoy]

In addition to the HCTC only being available to those whose DB pension has been turned over to the PBGC, it ends at age 65 when retirees are eligible for medicare. I believe that there is a stipulation that you have no other source of medical insurance, such as through a spouse's employer or COBRA coverage for new retirees (US retirees get 18 months of COBRA eligibility, for example)

You have to enroll in an approved medical insurace plan (approved plans vary by state) and normally the HCTC will pay 65% of the premium (as part of Obama's stimulus plan HCTC covered 85% for a while), either as a credit when you file your taxes or paid directly to the insurance company monthly (the IRS bills you for your 35% then pays the entire bill).

HCTC has a pretty good web-site and it's worth a look if any group does end up having their pension terminated -
www.irs.gov/hctc

Jim