UE-GE NATIONAL CONTRACT NEGOTIATIONS
Summary of 2011-2015
UE-GE Contract Proposal

Jump to: Wages • Pensions • Job and Income Security • Paid Time Off
• Disability, Dental, and Vision Insurance • Medical Insurance
• Retiree Health Benefits • Miscellaneous

Term of Agreement

Four (4) years.

Wage Increases

Lump Sum

July, 2011 - $5,000 lump sum payment (applies to benefits retroactive to June 20, 2011 and to those employees who return from layoff with continuous service by October 1, 2011, or otherwise on approved absence with continuous service who return by Dec. 31, 2011).

General Wage Increases

June, 2012 - 2.25%

June, 2013 - 2.50%

June, 2014 - 3.00%

Cost-of-Living

Continue uncapped COLA with improved formula of one cent for each 0.071429% rise in CPI-W (was 0.08%) with eight adjustments covering a 44-month period as follows:

December 2011, June 2012, December 2012, June 2013, December 2013, June 2014, December 2014, April 2015.

The new COLA formula represents a 12% improvement over the preceeding formula in inflation protection.

Incentive Rates

Same application as 2007-2011 Agreement.

Pensions

(Effective July 1, 2011 unless otherwise noted.)

Guaranteed Minimum Tables

Increase to range of $35 to $80 (was $34 to $70). All levels in the middle of the tables also increased.

Regular Career Formula

Formula is improved by freezing the “break point” between 1.45% and 1.9% at $45,000 (was scheduled to float upward). Effective 2012.

Career Pension Update

Will enrich pensions of those retiring under the regular formula. Applies to employees with 25 or more years PQS or those age 55 with 20 years PQS as of Dec. 31, 2010. Effective Dec. 1, 2011 for pensions beginning July 1, 2011 or later.

Regular Supplement

Increased to $20 (was $18) for employees retiring between age 60 and one’s age to qualify for 80% of Social Security.

Special Supplement

Renewed, and is increased to $400 (was $375) for employees with 25 or more years PQS.

Pension Contributions

Contributions of 3% of pay will begin after $80,000 of annual earnings (was $70,000) effective 2012. This represents up to $300 of additional “after tax” money.

Disability Pension

Reduction factors for disability pensions eliminated (previously reduced up to 12%).

Retirees

Effective Dec. 2011, will receive a lump sum “13th check” equal to one month’s basic pension (excluding supplements and PPA). Eligible retirees are those who retired before June 1, 2007.

Pension Plan Participation

Closed to new employees hired on or after Jan. 1, 2012.

Pension Side Letter

From GE guaranteeing no proposal to “freeze” pension benefits for at least next two contracts (expected to be 8 years). Also states that no freeze is under consideration.

Job and Income Security

(Effective June 20, 2011)

Renew SERO

Renew SERO for employees 55-59 with 25 years PQS directly affected by a “job loss event,” and subject to involuntary layoff or termination. Those electing SERO by voluntary substitution for another employee receive pension only but no supplements or life insurance. Health insurance is only available at 100% of cost. SERO 30 is also renewed on the same basis.

SERO “Window”

Window is reopened in 2011. Eligibility is limited to 400 applicants nationally, age 55 to 59 with 30 or more years, who have the most pension benefit service (PBS). SERO window retirees will have insurance coverage under HCP or GEMB. Successful window applicants must retire on Dec. 1, 2011.

Voluntary Retirement Incentive Payment
(VRIP Window)

Eligibility is limited to 400 applicants age 60 and older nationally who have the most PBS. VRIP payment based on 75% of straight time annual pay (average earnings for piece workers) including night shift bonus. Successful applicants must terminate service on Nov. 30, 2011 and will have insurance under HCP or GEMB.

Plant Closing Pension Option

PCPO is renewed as is the Special Supplement Benefit Option (SSBO).

Voluntary Layoff Bonus; Special Retirement Bonus

Increased to $18,000 (was $16,000).

Income Extension Aid

Employees with 6 months up to one year of service are now eligible to receive up to 2 weeks of IEA upon layoff (previously ineligible for any IEA).

Preferential Placement

Relocation allowances increased to $4,000 single and $8,000 family (was $3,500/$7,000). Interview expense allowance increased to $275 (was $250). Eligibility extended to those laid off for 6 months or more for reasons other than a work transfer or plant closing (was one year). Total time in preferential placement increased to maximum of four years (was three years).

Individual Development Program (IDP)

Textbook allowance raised to $400 (was $250) per course.

Job Preservation

Minimum guarantee on jobs preserved through the process increased to 18 months (was 12). Minimum members in local to have JPSP is reduced to 25 (was 50).

Paid Time Off

(Effective June 20, 2011)

Sick and Personal Days

Add one day (8 hours) to schedule for total of 3 (was 2) for employees with 1-9 years of service.

Vacation Schedule

Improved to provide for three (3) weeks for five years of service.

Death in Family

Add legal guardian to three day schedule of relatives covered.

Disability, Dental, and Vision Insurance

(Effective Jan. 1, 2012, unless otherwise noted)

Weekly STD

Benefits increased to $750 (now $700) and to $800 in 2014.

Long Term Disability

Minimum monthly benefit increased to $250/month (was $200).

Dental Insurance

Schedule increased (effective Jan. 1, 2013). Add new coverage up to 50% cost of implants as part of existing restorative and prosthodontic coverage ($2,500 maximum every 24 months).

Vision Care

Disposable contacts coverage increased to 4 boxes (was 2).

Add coverage for scratch resistant coating.

Add new low vision services coverage every 5 years and low vision device allowance and follow-up care. Total lifetime maximum for low vision coverage is $2,000.

Medical Insurance

(Effective Jan. 1, 2012, unless otherwise noted)

GE Health Benefits for Production Employees (GEHB)

Established as medical plan for actives and pre-65 retirees.

Coverage

100% for preventive care, various centers of excellence, second opinions, clinical trials, hearing care, hospice and 80% in network (60% out-of-network) for most other medical procedures after a deductible.

Three Options

Range from Option #1 with highest contributions and lowest deductible to Option #3 with very low contributions and very high deductibles. Option #1 and #2 have Health Reimbursement Accounts (HRA) which partially offset deductibles. HRAs are funded each year with any unused portion being rolled over into the next year.

Weekly Contributions

Example of $50,000-$74,999 Wage Band

	2012			2014
Dependents	Option 1	Option 2	Option 3	Option 1	Option 2	Option 3
One	$19.73	$13.02	$0.48	$23.56	$16.85	$3.43
Two	$39.43	$26.01	$0.96	$47.12	$33.70	$6.86
Three or more	$49.28	$32.51	$1.21	$58.91	$42.13	$8.59

Deductibles and HRAs

Example of $50,000-$74,999 Wage Band

Dependents	Option 1	Option 2	Option 3 (No HRA)
One	$800/$600 = Net $200	$1,200/$600 = Net $600	$1,600 Deductible
Two	$1,600/$900 = Net $700	$2,400/$900 = Net $1,500	$3,200 Deductible
Three	$2,000/$1,200 = Net $800	$3,000/$1,200 = Net $1,800	$4,000 Deductible

Out of Pocket Maximums - O.O.P.

Example of $50,000-$74,999 Wage Band

Sums of deductibles and coinsurance maximum (expenses paid 80/20) equals annual O.O.P. as follows:

Dependents	Option 1	Option 2	Option 3
One	$2,050	$2,950	$3,850
Two	$3,475	$5,025	$6,575
Three	$4,500	$6,500	$8,500

Smoking Penalty (effective 2015)

Additional contribution of $625/year unless enrolled in smoking cessation program.

Coverage Continuation

Coverage continues for one year for laid off, disabled etc., but with no contributions including for those with less than three years of service.

Pharmacy

Most drugs subject to deductible (30 day supply retail, 90 days mail). Thereafter co-insurance or co-pay applies. Generics $12/$20 mail; certain generics available at CVS Caremark for $4/$10. Regular retail drugs are 30%/20% mail.

Targeted and Specialty Drugs (Options #1 and #2)

Not subject to deductible. Targeted (for life conditions, such as diabetes), $12/24 and Specialty $30/90. Certain diabetic supplies purchased through network pharmacies paid at 100%.

Retiree Health Benefits

(Effective January 1, 2012 unless otherwise noted)

Present Pre-65 Retirees

Continue coverage under HCP or GEMB with no contribution increases for term of contract. Employees retiring as of 12-31-11 also retain coverage under HCP or GEMB.

Pre-65 Retiree Contributions

Will be based on pension amount if final annual pay is under $70,000 (was $60,000). Those retiring after Jan. 1, 2012 will be covered under GEHB.

Prescription Drugs

For pre-65 retirees retired as of 12-31-11 or earlier: Generic: $12 retail, $20 mail (no increase). Brand: $30 retail (was $22), $65 Mail (was $50). Specialty: $30 retail (was $25) and $65 mail (was $50). Annual drug co-pay maximum of $2,500 individual and $5,000 family per year ($250 and $500 increases respectively). Also applies to PPDP for those retired since Jan. 1, 2004. Pre Jan. 1, 2004 retirees under PPDP: Brand: mail co-pay: $35 (was $30); annual out-of-pocket max $1,750 (was $1,500).

Medical Care Plan for Pensioners (MCPP)

First day hospitalization benefit increased to $900 (was $700). Pensioners Hospital Indemnity Plan (PHIP) which supplements MCPP increased to $225 (was $175).

Lifetime Maximums

Increased to $175,000 for MCPP and $125,000 for PHIP ($25,000 increases).

MCPP/PPDP Opt Out

Opt out payment is eliminated as of 1-1-12. Retirees currently opting out may continue to do so.

Automatic Enrollment

For retirees in post-65 plans unless they decline, retirees may unenroll within 90 days and receive refund of contributions.

Miscellaneous

Newly Hired Employees (Jan. 1, 2012 or later)

Receive an S&SP match up to 4% (now 3.5%), and in addition 3% of pay and $600 per year in a Company Retirement Contribution account (CRC) which vests after 3 years in lieu of pension. New hires will pay 50% of cost of medical if retired from age 60-65 and are not covered by retirees’ life insurance.

Apparatus Service Shops

Travel and living allowance “minimum” increased to $38 per day effective June 20, 2011 and to $40 per day effective June 20, 2013.

Reimbursement for job related tools and equipment is increased to $325 (was $300).

Annual reimbursement for the purchase of safety shoes and other aproved personal protective equipment is increased to $225 (was $200).

Apparatus service workers will receive a 40% pay premium for work in Mexico.

Personal vehicle mileage allowance increased to 3 cents over IRS rate (was 2 cents).

Apply Government Service Administration (GSA) per diem allowance to all U.S. travel assignments.

Emergency Aid Plan

Maximum grants increased to $1,000 (was $500). All funds will be grants instead of loans.

Educational Loans

Loan eligibility raised to $6,000 a year/$24,000 maximum per student (was $3,000 and $12,000).

Scholarships for Surviving Children of Deceased Employees

Increased to $5,000 per year/$20,000 max per child (was $3,000/$12,000).

Adoption Assistance

Increased to $8,000 (was $4,000).

Union Representatives

Increase schedule of Executive Board members under Article 15 by one. A new representative will receive 8 hours paid time each week to help local union members with health care and other benefits.

Service Restoration

For previous periods of company service to occur after one year (was 3 years) of service.

Disabled Pensioners

Who recover from illness or injury added to recall list at former plant when released to work.

Recall Rights

Extended to laid-off employees with six months (was one year) of service.