Wednesday, March 15, 2006

UPTE-CWA Professional Staff E-Bulletin

Subject: UC benefits proposals would destroy our retirement plan
X-Scanned-By: MIMEDefang 2.39

UPTE-CWA Professional Staff E-Bulletin

Dear UC Professional Staff Member:

You may have heard rumors about proposed changes to our retirement and benefits plans. UC has placed faculty and staff pensions and healthcare benefits firmly in its crosshairs.

Preserving staff pensions and benefits is the top priority of University Professional and Technical Employees (UPTE-CWA). We have union contracts covering 12,000 of us and want to work with unrepresented professionals to preserve our careers at UC.

Through dialogue with UC for our represented employees we have obtained more detailed information on what UC administrators are contemplating:

q Pension Contributions: This week UC administrators will seek authority from the Regents to begin employee pension contributions. (See They have stated that they intend to require contributions for unrepresented employees on July 1, 2007. UC claims the pension fund needs a 16% of salary contribution to remain fully funded but it has not made clear how much of this they propose that employees pay.

q Retiree Health Benefits: UC administrators are quoting a financial reporting regulation to estimate a $7.6 billion liability for retiree medical costs. They have not stated if they intend to pay off this liability, reduce benefits, or pass on the cost to employees and retirees.

q Two-Tier Pension: UC is floating a “two-tier” pension plan that would exclude employees hired after July 1, 2007 from our current pension plan and put them into a reduced pension plan that would include less of a defined benefit and more of a 401k-style defined contribution plan.

q Employee Benefits Costs: UC's initial projection is that it will cut the employer contribution to our healthcare costs from 94% to 67%, increasing our average monthly premium to $337.

UC will make formal proposals about our pensions and benefits at the Regents’ meeting at UCLA on March 15-16. UPTE is committed to protecting the careers of all UC employees, whether we’re covered by a union contract or not. If you’re concerned, too, and want to learn more, please visit

Let's get together and protect our careers. After years of small pay increases, we can hardly afford cuts to our pensions. Those of us in UPTE that do not yet have a union contract want to do all we can to preserve our pension and benefits. By collaborating with those who have the added protection of a contract we will strengthen our efforts.


Sue Cross, Senior Learning Skills Counselor, UC Irvine
Hendry, Principal Analyst I, UC Riverside
Lisa Kermish, Senior Administrative Analyst, UC Berkeley
Cindy Kimmick, Programmer Analyst III, UC Los Angeles
Joan Lichterman, Principal Editor, UC Office of the President
Susan Orlofsky, Senior Editor, UC San Diego
Janet M. Peerson, Senior Statistician, UC Davis
Lynne Sheehan, Programmer Analyst III, UC Santa Cruz
Spring, Computer Systems Engineer II, Lawrence Berkeley National Laboratory
Elizabeth Wilks, Accountant II, UC Santa Barbara

LANS in 2006, LLNL in 2007
Where is the detailed information related to the "facts and figures" mentioned in this post located, besides here in this E-Bulletin?
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