At a minimum, it's UNETHICAL
So, LLNS has announced it will not be contributing to TCP-1 this year - that money will be used for infrastructure . . . REALLY?
Here is some information from previously published documents from LLNS
From the LLNS "Annual Funding Notice" - Dated April 2016
How the Pension Plan is Funded: LLNS and active plan participants contribute to the pension trust.. . . In general, contributions from LLNS are required if the assets in the trust are less than the current value of pension benefits.
From "FAQa for Contributions to LLNS Defined Benefit Plan - April 12, 2012
What happens when interest rates increase and the Defined Benefit Plan becomes well over funded?
A. The amount of future contributions will depend on many factors including future asset performance. As interest rates increase and assets grow through earnings and contributions, the plan will become better funded. Once the plan has enough assets to pay all future pension obligations, both employee and LLNS contributions will cease.
From the "LLNS Defined Benefit Plan Contribution Briefing" - Dated May 2 & 3, 2012
When will employee contributions end?
Contributions must continue until the plan has sufficient assets to pay all future pension obligations. We expect contributions to continue for the foreseeable future.
There is no statutory requirement to determine employee contributions. LLNS is implementing an employee contribution level of 5 percent, which is the amount active UC employees will be contributing to the UCRP effective July 1, 2012.
All this being said, why are employees still contributing 7% (AFTER TAXES) and the employer contributing ZERO?
So, LLNS has announced it will not be contributing to TCP-1 this year - that money will be used for infrastructure . . . REALLY?
Here is some information from previously published documents from LLNS
From the LLNS "Annual Funding Notice" - Dated April 2016
How the Pension Plan is Funded: LLNS and active plan participants contribute to the pension trust.. . . In general, contributions from LLNS are required if the assets in the trust are less than the current value of pension benefits.
From "FAQa for Contributions to LLNS Defined Benefit Plan - April 12, 2012
What happens when interest rates increase and the Defined Benefit Plan becomes well over funded?
A. The amount of future contributions will depend on many factors including future asset performance. As interest rates increase and assets grow through earnings and contributions, the plan will become better funded. Once the plan has enough assets to pay all future pension obligations, both employee and LLNS contributions will cease.
From the "LLNS Defined Benefit Plan Contribution Briefing" - Dated May 2 & 3, 2012
When will employee contributions end?
Contributions must continue until the plan has sufficient assets to pay all future pension obligations. We expect contributions to continue for the foreseeable future.
There is no statutory requirement to determine employee contributions. LLNS is implementing an employee contribution level of 5 percent, which is the amount active UC employees will be contributing to the UCRP effective July 1, 2012.
All this being said, why are employees still contributing 7% (AFTER TAXES) and the employer contributing ZERO?
Anonymous said...All this being said, why are employees still contributing 7% (AFTER TAXES) and the employer contributing ZERO?
November 28, 2016 at 1:56 PM
It may be unethical but it is legal and as you know LLNL is now a "for profit" entity. You know live in the real world and will be treated by real world standards just like everyone else. The days of being special are long over, get used to it.
