Will 401(k) plans keep getting worse?

CNN ^ | December 12, 2012 | Teresa Ghilarducci

[super7man]

You are absolutely right, a company need not and should not pay more than necessary to get an employee or keep him.

In the current environment employees will give up a lot before they leave.

[kawhill]

A fiscal year end match is the policy of the company I work
for. If, and that’s a big if, profits allow a match at all.
I feel privileged when I receive a match.

[redgolum]

Of course it will get worse.

401K’s will end, for the same reasons that pensions ended. They cost money.

[CORedneck]

When I worked at Lockheed Martin, many people in the management structure were former IBM’ers. A lot of them were very liberal too as well like one manager I had who wasn’t nice.

One comment about making a dollar getting much harder, seems like a very popular plan not only with the gov’t but also companies. I talk with my former cohorts from LM and they have been on a wave of taking many things away. Here is the list

- pension - grandfathered for those who started before 1/1/2006a

- no vacation payouts at end of year if beyond 400 hours and time adjusted to 400 - eliminated 1/1/2008c

- vacation time ceiling where once you hit max, you don’t get additional time each month - indirectly lose the time

- use to get 7 floating holidays, a de-facto another week of vacation but next year, only get 4 floaters with the stipulation that you cannot use it as additional vacation time, the days have to be spread out and cannot be used with vacation time like 1 day floater and 4 vacation days

- you are expected to give 5 free hours of casual OT per week

- if you take vacation, you are expected to make up the time with unpaid casual overtime in addition the expected 5 hours of free time per week

- when you take vacation, it is mandatory to leave contact information and subject to recall

- if you have to relocate for a job, you are only given enough money to do a “do-it-yourself” move. No money for Realtor fees or temp housing.

- of course the executives are exempt from these pesky rules

- very limited options with 401k’s

- company medical is really rotten but very expensive, run like an HMO with the various gateways to prevent access to specialized care or make it difficult

On using vacation time, many contracts now require excruciating painful red tape to use it. To leave for more than a week, you have to get special permission from higher levels of management. Just to take a week, you have to get permission from your manager AND his peer managers. On many contracts, the number of people is down to the bone where if you take vacation, the work just piles up until you get back.

Bottom line, it is harsh control not only on your finances but also your personal life as well.

[TXnMA]

Watch for big November layoffs at #1BM...