August 29, 2005

STEELWORKERS PENSION TRUST

UNDERSTANDING OUR ACCRUED BENEFIT LETTERS

 

By now everyone who is a represented active employee with Mittal Steel USA, should have received a letter from the Steelworkers Pension Trust explaining the 2004 contributions made on their behalf.  If you have not received this letter, please call 1-800-848-1953 to request one.

Your 2004 pension calculates all time from 12/14/03 through 12/25/04, which includes all time reported on paychecks beginning with pay date 1/1/04 through paycheck dated 12/30/04.  Hours that you receive pension contributions for are:  All actual hours worked.  vacation (when taken), holidays, jury duty, bereavement leave, union business and pay corrections, also credit up to 40 hours per week is given for layoff, time off on Workers Compensation, sickness and accident leave, union leave, military service and FMLA.  Your paycheck doesn’t reflect all of these hours.

BENEFIT FORMULA

The monthly benefit paid out by the Pension Trust equals the amount of the annual hourly contributions multiplied by a percentage set by the Steelworkers Pension Trust, which for months January through June 2004 was at 37% and from July  2004 through present is currently set at 27%, and then divided by 12 to obtain the monthly benefit.  The change in the percentage last July is why we have two lines of calculations on our letter.

See example below.

First Line:  July – December 2004

2004 Contributory Hours                    1040 hours (insert your hours here)

Per hour contribution rate                                  x $1.80

Contributions for July – Dec. 04                            $1,872

Benefit Formula percentage                                x .27

Annual Pension                                                       $505.44

$505.44 divided by 12 = $42.12

 

Second Line:  January – June 2004

2004 Contributory Hours                    1040 hours (insert your hours here)

Per hour contribution rate                                  x $1.80

Contributions for Jan – June 04                                     $1,872

Benefit Formula percentage                                x .37 

Annual Pension                                                       $692.64

$692.64 divided by 12 = $57.72

The monthly pension at normal retirement for 2004:

$42.12 + $57.72 = $99.84

If the hours on your statement does not reflect the correct amount of hours for your 2004 pension…you need to report this discrepancy in writing to the Steelworkers Pension Trust.  Send any documentation that you may have that verifies your claim.  Sending a written letter to the Steelworkers Pension Trust is the best way to make sure that your discrepancy is addressed (retain a copy of this letter for your records)

I hope this helps you understand the letter, if you have any questions pertaining to the calculation of hours, please feel free to call the Steelworkers Pension trust at 1-800-848-1953 or call me at (219)762-6787.                                                      

Pete Trinidad, Pension Committee

Local 6787 ~ USW

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