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Ford also has to fund retirement benefits in advance. Because taxpayers are 100% on the hook for a USPS failure, and not for a Ford failure, the rules are tigh
by newbie12 14y ago
Ford also has to fund retirement benefits in advance. Because taxpayers are 100% on the hook for a USPS failure, and not for a Ford failure, the rules are tighter for USPS, which is appropriate. See: http://msnbcmedia.msn.com/i/CNBC/Sections/News_And_Analysis/_Blogs/NetNet/__DAILY_POSTS/CRSmemo_postal_rhb.pdf http://msnbcmedia.msn.com/i/CNBC/Sections/News_And_Analysis/...
- Retric 14y agoIt's not a problem with prepaying for heath benefits. It's changing the rule to force prepaying ~7 years worth of heath benefits every year until they are ~70 years ahead. If they had been forced to gain 6 months of headway every year you end up with the same mandate at far lower up front costs. PS: Also Ford does not need to 100% fund there pension plans they are allowed to have a gap which is currently around 20% or $15.4 billion as of end 2011. http://www.reuters.com/article/2012/05/30/us-ford-pension-idUSBRE84T1KW20120530 http://www.reuters.com/article/2012/05/30/us-ford-pension-id...