Some GM workers have been waiting months to find out what’s going on with the automaker’s new retirement buyout plan. Said deal was ratified by the UAW labor union last year after the six-week strike, highlighted by a $50,000 pre-tax lump sum for eligible workers. According to a recent report from The Detroit Free Press, they may not be waiting for much longer, as details are finally expected to drop the week of March 11th, 2024.
Details were disclosed in a letter from UAW Vice President, Mike Booth, which was sent to union locals on March 7th. The letter indicates that the first stage of the buyout program, referred to as the Special Attrition Program, is expected to begin on March 14th. The program will offer a $50,000 pretax retirement incentive for traditional employees throughout three time periods from January 2024 through April 2028. Prior to each time period, GM and the UAW will discuss the timing, scope and size of the offering.
Additionally, the letter stated that GM will finally start explaining the steps for qualified employees who previously worked at the now-defunct Lordstown Assembly Complex in Ohio to return to the site and start working for Ultium Cells LLC. The contract ensures that eligible employees’ current pay and benefits will follow them back to Lordstown. Workers had to be actively employed at the plant as of November 26th, 2018 in order to be eligible for the transfer to Ultium Cells.
GM Lordstown plant in 2017
“The union was successful in negotiating the staffing of all represented positions within Ultium Cells facilities with direct employees of GM being leased employees to Ultium Cells,” Booth wrote. “This agreement also provides for transfer rights for certain eligible former Lordstown Assembly Complex members to return to Warren, Ohio, to work at the Ultium Cells facility.”
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Comments
So I guess they had a nice vacation for 6 years or so? Wonder how long this company will be around?
Only 5 years, working hundreds to thousands of miles from home? How much longer will it take GM to get these people home?
Mary and Gerald should be locked up for the way they mishandled the Lordstown closing. POS both of them.
$50,000 lump, unless rolled over into an IRA, will mean about a 40% tax hit. In today’s Democrat Inflationary Economy, which shows no sign of subsiding despite the lies the left is trying to sell everyone, that is Chicken Feed.
You’re taxed on you’re yearly wages, not a single payment. Unless they make $50,000 every paycheck they’ll get the excess money refunded when they file. It amazes me how many people don’t understand tax brackets.
True Lance, but also there’s an annual limit on how much income you can protect from taxation in your 401k, I think in 2024 its around 30,000 if you’re over 65. (includes “catch up”). So when GM FINALLY gives me the go ahead and a date, I can only protect maybe 40,000 of it from taxation (although it will all be taxes later when I draw it out of my 401k). The benefit is, later on my income will be much less and my tax bracket will reflect that decrease, hopefully being much lower.
GM really dropped the ball on the timing, however. No news for 3 months so far on a negotiated benefit!
AND Kelly now it is 3-14 THURSDAY, so GM better have a statement OR OFFERS out tomorrow morning, or they are definitely reneging on their word. As usual. (Based on how they put on Trades apprentices as promised, in the last weeks of every contract) (On my prior comment, I meant to put, I can only protect maybe 25000 from taxation, since I’ve already used up some of my allowed 2024 contributions through payroll deduction. I don’t know how to edit that one)
True Lance, but also there’s an annual limit on how much income you can protect from taxation in your 401k, I think in 2024 its around 30,000 if you’re over 65. (includes “catch up”). So when GM FINALLY gives me the go ahead and a date, I can only protect maybe 40,000 of it from taxation (although it will all be taxes later when I draw it out of my 401k). The benefit is, later on my income will be much less and my tax bracket will reflect that decrease, hopefully being much lower.
GM really dropped the ball on the timing, however. No news for 3 months so far on a negotiated benefit! whoops I meant I could protect 20k out of the 50, since Ive already put some in my 401k this year.
You Trump guys never cease to blow my mind. Go ahead and give back the bonus you just got, the pay rase you just got, give back some vacation time, a bunch of holidays, your retirement and start paying out the nose for your healthcare. That is exactly where you would be without the union and if Trump or any other Republican had their way the union would be gone. I understand the frustration over the Democrats wanting to plonk some higher taxes on us but that is nothing compared to what the Republicans want to do to us. Only through delusion do you think they are out to help anyone except Corporations and the rich.
Sounds like Lance is the only commenter with any common sense on here.
Lance is 100% right. Plus inflation has nothing to do with the tax bracket, wage increases are outperforming inflation, inflation is now back to 3.1%, and the tax bracket has remained virtually unchanged since Trump’s presidency. But you are half correct when you said that you’ve been lied to.
And Joel missed the boat also. Inflation did not go back to what prices where in 2020. Prices are still 15-18% higher than in 2020. Inflation has only rose ANOTHER 3.1%. WHICH is less than the last 3 years, if you can now believe bribin.
So it was all just another lie among the many that we have been told! Today is Monday March 11th and not a single damn word has been spoken as the international Union had promised us!! Not a single detail about anything !!