Angels stop pensions

[Blarg]

I'm speaking of the "standard business practice" of eliminating pensions vs corporate CEOs (and I guess corporate earnings) and not specifically the Angels.

 

Although it is interesting that the Angels and White Sox are the "pioneers" of said practice in what is a very healthy industry.

 

The Article mentioned Angels and Red Sox are suspending pension plan offers to new hires, the White Sox ownership is against it. Maybe you should read the article again. Or for the first time.

[Mark68]

The Article mentioned Angels and Red Sox are suspending pension plan offers to new hires, the White Sox ownership is against it. Maybe you should read the article again. Or for the first time.

Sorry...I got the color of the Sox wrong.

[Blarg]

And other things.

[Mark68]

Your opinion.

[Taylor]

And the Angels and Red Sox have beefed up existing defined contribution plans — or 401(k) plans — to offset the reduction and eventual elimination of pension plans, bumping matching contributions from about 4% to as much as 10%, according to employees of both teams.

 

 

http://www.latimes.com/sports/sportsnow/la-sp-sn-angels-red-sox-pension-plans-20141218-story.html

 

 

Pimp should've posted the article.

 

Quoting this again because some people seem to still be missing it.

[halobob]

Then the market is the problem. It used to be that CEOs commonly got paid 50-100x the median salary of their employees, including large corporations. I have no problem with that, as it reflects the difficulties of running a business and individuals that have the ability to do so (well) should be compensated.

 

But in today's times, where they get 300-500x median employees' salaries (just reflecting actual pay, not stock options and other "perks") whether they help the business or crash an entire industry, is problematic.

I think you are mistaken on how much most CEO's make.  Sure the CEO's of fortune 500 companies are generally paid well but most CEO's are not even paid 50-100x the median salary of their employees.  

[yk9001]

Quoting this again because some people seem to still be missing it.

 

 

A 10% matching blows, in real life.  100% of rational people would take a defined benefit plan over a defined contribution plan (401k). 

 

Public employee unions don't pay top dollar to buy their politicians so they can negotiate for a defined contribution plan.  Ever.

 

Lets say you are a peon Arte employee, and you make $50,000.  You can contribute 10% of your salary and at best, the employer will match 10%.  That is $5,000 from you and $5,000 from your employer.  Wooo hoo.  You better be some sort of Warren Buffet when you choose your funds (FLEXIBILITY!).  And that is best case scenario.  From the article, I can't tell if the matching is 10% of your salary (best case) or 10% of your contribution (that's a big $500 annually from the Angels).

 

But since these are peon, little people, who cares?

[ELEVEN]

y'all are GREAT BIG FAT RACISTS wahhhhhhh

Is this a veiled jab at Trout?

[tdawg87]

It seems fitting that the thread of the year would happen in the final weeks.

[shellback]

Is this a veiled jab at Trout?

 

it was a cast, you damn racists

[yk9001]

It seems fitting that the thread of the year would happen in the final weeks.

 

If you follow me on twitter, you know this isn't the thread of the year.

[Stradling]

If both you and your employer put away $5k a year and you work there for 30 years of you get a decent annual return of 6.5% you'll have close to $1 million in your 401k. That doesn't account for raises where you might be able to increase your contributions. Also I don't know how pensions work but my guess is if you die your spouse and family get nothing versus a 401k where they get your money.

[ABC]

Because up until about 30 year ago, the former was commonplace, and had been for a long time, and in the last 30 years (especially the last 15 or so), it has all of a sudden skyrocketed even though the majority of people (let's call them the 99%) have seen their wages stagnate or even fall when accounting for inflation and the cost of living.

 

Also, you'll find the former still commonplace among other industrialized nations with a standard of living at least equal to (if not greater than) America's.

 

So...

 

1. If 300-500x is commonplace then you're okay with it. 

2. As long as other industrialized nations do it, you're okay with it.

 

And... you have no calculation why 30-50x is ok but 300-500x isn't.

[Taylor]

I would be thrilled to get 10% matching. I have a 403( b ) and my employer matches 3%.

Edited December 24, 2014 by Taylor

[Vegas Halo Fan]

On the plus side, Arte has enrolled ALL eligible employees in the Jelly of the Month Club.

 

Nice Christmas Vacation reference.

 

Merry Christmas! Shitter was full!

[Vegas Halo Fan]

haha, every time I got a shittier health plan option, the HR person would always parrot that same exact thing:  This is about flexibility!

 

I have run into that too. Funny how my "greater choice" always comes with higher deductibles and co-payments, higher premiums and more exclusions.

[maximus p]

i really don't care about this

 

team employees don't care about my retirement either

Feel the same way about celebrity deaths.

[maximus p]

If both you and your employer put away $5k a year and you work there for 30 years of you get a decent annual return of 6.5% you'll have close to $1 million in your 401k. That doesn't account for raises where you might be able to increase your contributions. Also I don't know how pensions work but my guess is if you die your spouse and family get nothing versus a 401k where they get your money.

I am allowed to set a lower % of my pension so that the old lady keeps getting it after I pass, if she passes first I get 100% of my pension.

[halobob]

10% matching is great, mine was 3% at my former job.  

 

Anywho, the real situation is that businesses are realizing that it is impossible to pay off pension obligations in the long run (kind of like social security).  The Angels are actually doing their employees a favor in the long run because when the pension funds run dry and people get 10% of what they were promised they will be in a much worse spot (see the city of Detroit and their pension bankruptcy).  

[Mile High Dreams]

Complaining about the death of pensions is like complaining about the death of the fax machine, 8 track players and and blue chip stamps.

[halomatt]

This may be "standard business practice" and all, since it is/has been happening in every industry, but it's amusing (ironic?) that when businesses and corporations say they need to cut costs, it always seems to be on the back of the everyday employee (whether it is ending pensions or cutting pay/benefits or layoffs) but the CEOs get paid ever more. Even when CEOs get canned for poor corporate performance, they have their nice big golden parachutes to cushion the blow.

Isn't this one of the reasons unions formed? (Serious question.)

[Ohtaniland]

Next comes the clubhouse vending machine. Thanks Arte Claus.

[LAAFANofLA]

Shame on you for modernizing our club. Shame on you!

[Tank]

Is this a veiled jab at Trout?

 

no, that would make him a fascist.

 

or a fishist.

[2002_halos_II]

I'll just butt in here b/c pensions and 401Ks are two different things. You can have BOTH - if your company provides a pension it doesn't mean you cannot also contribute to a 401K...

 

 

Skipped to the end of thread ....