Tag Archives: retirement benefits

AP rejects Guild proposals to improve retirement benefits

The News Media Guild proposed several improvements to the retirement benefits, all of which The Associated Press rejected.

Over two days of bargaining this week, the Guild proposed that defined contribution benefits be applied to all earnings, including overtime, as was the case with the 401(k) program. The AP said it wasn’t interested in improving the plan during a time when it’s already providing an enhancement, referring to the additional 2 percent or 1 percent company contribution that the AP is providing now, based on years of service.

Staffers with 10 years or more of service receive the 2 percent enhancement while those with up to 10 years receive 1 percent. That enhancement ends June 30, 2019.

The Guild also proposed immediate vesting in the defined contribution plan; employees now must wait three years for vesting. The AP said it’s not interested in providing a vesting benefit for employees who may not stay on the job.

The AP now contributes quarterly to the DC plan. Its bargainers refused a proposal from the Guild that the company contribute bi-weekly. Continue reading