Delphi salaried retirees eye pension suit - Jacksonville Business Journal:

shelly-polymer.blogspot.com
If not stopped, retirees fear that the move couldx drastically cut the value ofyounger ex-white collar pensions by as much as 50 percent, said Jamess Frost of Clarence, a board member and organizer of the Delphi Salaried Retiree Association. The legal action is beintg spearheaded by 100 to 200 retirees in Ohio who belonvg tothe 5,400-member DSRA but who are actin on their own, Frost said. “W (the DSRA) are serving as support by gatherinv information and sharing it with all our members and by contacting legislators aroundthe country,” Frost said. “We are not starting our own action because it would duplicater what theyare doing.
” The opposition sprang out of the modified reorganization plan Delphi disclosee on June 1. The company, to emerge from Chaptedr 11 bankruptcy, said it would cancel its pensioj obligations and have assume thehourlyy workers’ pensions and the PBGC take over the salariedx employees’ plan. Frost, who worked at GM for 25 yearsw and at Delphifor six, said hourly pensions won’t be affected “aft least in the short but salaried workers who retired at 55 coul lose half the value of “We want our pensions also to be transferred to he said. The suit would chargw Delphi, GM, the union, II and the U.S. Treasury with collusion againstthe retirees.
In the reorganization plan for GM’s former parts operation, II LLC a unit of Platinu Equity — would acquire and operate Delphi’s U.S. and non-U.S. businessex by supplying $3.6 billion in capital.