Retirees Corner October 2011
September 28, 2011
TO: UAW Local 1112 Retirees
Dear Retiree;
As you have probably heard by now, the UAW and GM have reached a new National Agreement.
Here is the information that pertains to the retirees as we understand it.
PENSION: There are no increases to the pension.
CHRISTMAS BONUS and AGE CREEP: The $700 lump sum payment paid in December and the “Age Creep” was not renegotiated, therefore you will not receive the “Christmas Bonus” and there is no more “age creep”. This is due to the fact that GM stock value has fallen. While GM has met their obligation as far as funding requirements to the Pension Plan, there was no extra money for pension increases and bonuses.
GM pension obligation is $250 billion and the Company is worth $150 billion. While there is money to pay benefits, GM refused to take out additional obligations to the pension plan, in fact their 2nd proposal was to terminate the plan and turn it over to the PBGC (Pension Benefit Guarantee Company).
UAW GM LEGAL SERVICES: The Legal Services Plan will terminate December 2013 for both retirees and active employees.
STATEMENT FROM THE UAW RETIREE MEDICAL BENEFITS TRUST
The Trust is an independent entity and not part of the autos or the UAW. The Trust will be formally announcing the details of the 2012 benefit changes in November. Below are highlights, additional details regarding 2012 benefits will be provided in November via mail from the Benefit Trust to all retirees
Re: 2012 Retiree Benefits Administered by the Trust: The UAW Retirees Medical Benefits Trust (the “Trust”) provides health care benefits for all current and future eligible UAW retiree members of GM, Ford and Chrysler.
UAW TRUST 2012 BENEFIT CHANGES INCLUDE:
New Limited Coverage for GM and Chrysler Members
- Preventive Dental Program that includes coverage for:
- Cleanings twice yearly
- X-rays
- Fillings
- Routine Vision Exam – Every 24 months with $25 copay
For all Ford, GM and Chrysler Members:
- NEW COVERAGE Four (4) Primary Care Office Visits for Non-Medicare* members and their dependents enrolled in the Traditional Care Network (TCN) Plan
- oOne (1) Wellness and three (3) Routine Visits
*Medicare currently provides office visit coverage for Medicare-eligible members
- No Increase in current Monthly Contributions and Prescription Drug co-pays from current levels
- No increase in co-pays for Urgent Care, Emergency Room or HMO Office Visits for existing plans
- Increase to Deductible and Out-of-Pocket Maximum level depending upon plan chosen
- NEW Health Plan Option for Medicare Eligible Members in the following eight (8) states Ohio, New York, Missouri, Wisconsin, Illinois, Indiana, Tennessee and Florida.
Once we have the details of the healthcare changes, we will schedule an informational meeting to discuss them with the retirees.
Fraternally,
Bill Bowers, Chairman
UAW Local 1112 Retirees’ Chapter