A Pension Merger Question

[baberesq]

I currently work for a state entity. This entity merged five private companies into a state agency, and took over all obligations. In our offer letters it stated "you will not be treated any differently than any other agency employee". Well that is not what happen, all other agency employees made a lot more in salary than the privates, but that's not the instant issue. More importantly there were all different pension plans within the agency, but the common denominator of every plan existing in the agency, was they were all Final Average Salary pensions, in which your pension is based on your three highest years of salery. Unlike the new private employees brought in, whereas there pension, is a straight $ amount times years of service pension, This plan was carried over from the previous private co, and now owned by the state agency. Does anyone believe we are being "Treated differently than all the other non-represented agency employees?

 

[cbg]

It doesn't matter what we believe, and frankly, it doesn't matter whether you are or are not being "treated differently" than other employees. All that matters is that you are treated legally, and you are.

FYI, it takes a great deal of time to merge the benefits of merging companies or agencies into a single plan, probably several years. I'm not kidding; there are so many regulations regarding various benefit plans that to do it right without violating any regulations, it CANNOT be done quickly. How long since the acquisition?

 

[baberesq]

Almost 5 years, the benefits package, medical, life insurance, vacation etc. were given on the date of the merger, and were equal to the existing employees, but we were told (verbally), the pension would be fixed after the represented employees settled there contract which occurred 6 months ago. We also have not received a pension statement in five years. when we asked for one they said "we are a state agency and they don't have to supply one".

 

[Green_Hornet]

O.K I am bit confused, you are saying that you worked in a state civil service position, and now the state has contracted the work and employees to a private concern? You mentioned a merger, private corporations merge, I have not heard of state controlled entity merging with private enterprise.

 

[baberesq]

Let me clarify, the State Agency took over (merged) the private company into a new public agency controlled by the state, but all the jobs within this agency are non-civil service. (no test were involved).We went from a Private company> into a state entity, and are considered state employees. Each year we must fill out full disclosure forms and are in the NY State Health Insurance Plain (NYSHIP), but we are the only employees in the whole Agency (about 100 of us out of about 40,000), not in a Final Average Salary pension plain. So we believe we are being treated differently, even though in our offer letter states "You will not be treated differently than any other Agency employee.