Question On GM & Chrysler: What Happens To Retirees Pensions And Health Care If

[Dinger]

GM & Chrysler go bankrupt? Collateral damage?

[MercutioATC]

1. Depends on how it's structured.

In most scenarios, retirees would get at least partially screwed.

The most likely scenario? Their pensions would wind up here:

http://www.pbgc.gov/workers-retirees/benefits-information/content/page13181.html

[Dinger]

4. I Wonder Why I Haven't Heard A Fucking Thing On This???

Big mistake Obama, big fucking mistake.

[MercutioATC]

6. Honestly, because nobody knows how it's all going to play out.

GM and Chrysler might not file for bankruptcy protection. The plan might be structured to make provisions for retirees. Nobody knows, because we're not at that point yet.

[hobbit709]

2. You want the long version or the short version?

Short version=You're screwed"

[Bonhomme Richard]

3. Pension Guaranty Corporation

Oh yeah. Bush invested that money in the stock market right before the crash.
Oh well.

[OHdem10]

5. Sometime in the past, Congress passed a law that Taxpayers will

pick up the pensions. Naturally, they will not receive
the full pension only a percentage. (This applies to Auto
Industry only, I believe).

[bain_sidhe]

9. No, not just auto industry

but the PBGC only applies to private pensions, not state or fed employees - maybe that's what you're thinking of?

And, technically, it's not paid for by the taxpayers, it's supposed to be paid for by "premiums" paid by the companies (it is after all, pension fund "insurance"). But if they run out of money, the fund is backstopped by the taxpayers. And they're already saying they're running out of money, just from the bankrupt pension plans that have been dumped on them already.

[BobRossi]

7. Poof!

Gone.

[michreject]

8. Bullshit!!!!!

[DainBramaged]

10. We're fucked, that's what, and the people who worked their ENTIRE adult lives

for the UAW and the auto manufacturers, hundreds of thousands of them, and a large percentage disabled because of work related injuries (ever get hit by shrapnel from an exploding air gun?) as opposed to the about 2500 Toyota retirees (it's amazing after all of these years how FEW people retired from Toyota) get bupkis because the bankers got it all.

If the Union gets fucked over over this, and the pensions and health benefits disappear, there will be a LOT of pissed off people come 2010 and 2012. And the Corporatists on the Left will pay a steep price, but not as steep as those of us who get fucked (I'm 58 next month, and if the pension goes, I'm dead).

[Dinger]

11. Yup, And 2010 And 2012 Will Come Awfully Fast

A price WILL be paid.