This might be interesting !

[frayne]

Caution pensioners ! Lot of TVA retirees in my neck of the woods and can't wait to hear their views on this.

http://www.nytimes.com/2016/03/04/b...-at-tva-breaking-a-federal-firewall.html?_r=0

 

[travelover]

A snippet

On Thursday, the board of the Tennessee Valley Authority Retirement System, the pension program for roughly 11,000 workers and 24,000 retirees at the venerable New Deal-era agency, approved a tentative plan to lower the system’s funding shortfall by reducing benefits.The plan will be implemented later this year if the T.V.A.’s management and board go along with it.

 

[Mulligan]

The only thing I saw affecting current pensioners is a reduction in COLA. My pension system did that my first year in retirement over 4 years ago, reducing it from yearly CPI, to 2% fixed unless CPI was over 5%. The ironic part is this "reduction" has given me bigger yearly raises because CPI was been below 2%. This year CPI was 0.12%, so instead of getting that tiny amount we got the 2% fixed. I hope they can continue coming up with more "reductions" like this that gives me more money.


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[MissMolly]

Our COLA was also already removed after my first year of retirement due to severe underfunding of the state pension. It will be reinstated once funding levels reach 100% which isn't going to happen in my lifetime

 

[gauss]

I couldn't find anything about a traditional DB pension formula (ie 1% * Final Average Salary * years of service) and how it would be effected.

I wonder if they converted everyone over to the hybrid/cash balance plan in the past.

-gauss