Through mid-July, approximately 23,000 of the 65,000 retirees eligible for the General Retirement Plan (GRP) lump sum payment offer will receive a postcard indicating the beginning and end dates of their 90-day election period. Since the initial announcement of the offering, there has been some misinformation published in the media, in emails among retirees and former employees, and on online message boards. Ford encourages its retirees to exercise caution when dealing with those who may try to influence their decision for purposes of benefitting themselves. Retirees should review the materials provided by Ford and use their independent judgment to ensure the decision they reach is in their best interest.
Below are some highlights of the offering to retirees:
- This voluntary opportunity allows salaried (primarily) retirees and surviving beneficiaries to receive the remaining value of their General Retirement Plan (GRP) benefit as a single lump-sum payment instead of monthly payments. Intended to be a one-time-only offer, this also may include additional monthly pension benefit payment options for those currently receiving pension payments.
- Each participant will receive a Decision Guide before their election period begins which will help them understand their options and consider what is best for them.
- Each participant will receive a personalized Election Kit that will contain the value of the participant’s lump sum payment option, as well as other payment options that may be available to the participant. Specific instructions and forms for making the election will be contained in the Election Kit. Once a participant is notified of the amount of the lump sum via the Election Kit, he or she will want to consider if taking the lump-sum payment option would fit with his or her retirement financial plan.
- To help retirees better understand the financial aspects of the options, Ford is making available financial and tax education resources at no cost to the participant. These resources will be offered by Deloitte Consulting, an objective, third-party organization. We encourage retirees who are within their election period to attend a Group Session and a one-on-one session. Deloitte Consulting cannot provide retirees with personal investment, legal or tax advice and will not make any suggestions about which option retirees should choose.
Eligible participants can find more information on myfordbenefits.com. Once you are logged on, a link to frequently asked questions can be found under Messages & Alerts from the homepage.
To read the updated Q&A on this voluntary lump-sum pension payment opportunity, click here.
Your employee benefits are governed by the terms of the applicable official plan document or policy. Summaries of your benefits are available; however, if a conflict exists between any summary and the official plan document, the official plan document prevails. The Company reserves the right to terminate, suspend, or amend any of its employee benefit plans, programs or policies at any time in accordance with applicable plan documents and subject to applicable collective bargaining agreements. You will be notified of any change after it is approved. Until a change is officially announced, no plan fiduciary or any other Company representative is authorized to disclose to you any information about a change under consideration. You should rely exclusively on officially announced information and plan materials. No employee, beneficiary, surviving spouse or other person has any legal or other right to benefits under the Company's employee benefit plans, programs or policies, except as provided by such plans, programs and policies.