Events Calendar
In This Section
Day with Warren Buffett enriching to UA students
WISDOM FROM BILLIONAIRE WARREN BUFFETT
FedEx says IRS won't be imposing penalties
U.S. Walmarts to stay open Thanksgiving
WOMEN'S LEADERSHIP PROGRAM MAKES DEBUT
Regulators eyeing Ally Bank tactics
Number of females in unions increasing
Most Read Stories
Suitcase causes bomb scare at Akron bus terminal
Akron City Council OKs higher speed on I-77
Chapel Hill isn't rolling right along
Motorcyclist killed, wife injured in Stark County crash
New eateries expand menu of options
Man says he was punched, robbed by 3 people in parking lot
Patrick McManamon: Here's what the Browns should try the rest of the season
Louisville athlete commits to play for Boston College
Family found dead in Ohio home
Blogs:
Pets:
It Takes All Kinds
The Heldenfiles:
Tuesday Notebook
Patrick McManamon:
An interesting thought from a reader
Akron Zips:
Akron vs. Mount Union — Liveblog
Tribe Matters:
Indians announce spring dates
Cleveland Browns:
Mangini doesn't name a quarterback
Kent State Sports:
Flashes interested in another Cincinnati player
Cleveland Cavaliers:
Shaq: It’s All About Winning Championships
Buckeye Blogging:
Buckeyes Roll 100-60 / Season Outlook
Varsity Letters:
Report: Walsh baseball player commits
All Da King's Men:
More On The Fort Hood Jihadist
Blog of Mass Destruction:
Simply Incapable of Telling The Truth
Akron Law Café:
Health Care Financing Reform: (63) Commonwealth Fund Report on Primary Care
See Jane Style:
Muffle Your Muffler
Car Chase:
Clock Tender- Extending the Life of Collector Car Clocks
Let's Talk Real Estate:
Rumors: Akron Starbucks Closing
Ohio Travels with Betty:
Jack is looking for a trip to Southern Ohio the week of November 16.
Sound Check:
Aeromsith looking for new singer as Steven Tyler contemplates solo career
HRLite House:
Personal Rant – Why People Do Not Live in Northeast Ohio
Akron Gamer:
Video: 'Modern Warfare 2' hits the streets
$1 billion settlement needs OK of federal judge to create trust
By Jim Mackinnon Beacon Journal business writer
Published on Wednesday, Oct 31, 2007
Goodyear Tire & Rubber Co. and the United Steelworkers have agreed on a proposed settlement that will lead to the creation of an independent health care trust for union retirees.
The proposed settlement, which requires federal court approval, was filed Monday in Akron's U.S. District Court for the Northern District of Ohio.
Goodyear said Tuesday that it expects the process to create the trust known by the acronym ''VEBA,'' for Voluntary Employees' Beneficiary Association that will be completed sometime in the first half of 2008.
The process of creating the VEBA began in early July with the filing of a class-action lawsuit in federal court.
Upcoming steps in the process include getting preliminary court approval, followed by a 90-day notice period, another court hearing, final judgment and then a 30-day appeal period.
Goodyear is required to pay $1 billion into the VEBA, which then will be responsible for paying all future Steelworker retiree health care benefits. The union and the Akron tire maker agreed to create a VEBA after a strike by the union in late 2006.
Union members will pay part of their cost-of-living increases and profit sharing into the fund as well.
The VEBA will be run by a nine-member committee made up of three union representatives, two retiree ''class'' representatives, and four public members who have expertise in benefits. Goodyear will have no one on the committee.
Once the VEBA is created and functioning, the measure is expected to save Goodyear as much as $110 million a year that it otherwise would have had to pay out in health care costs.
The United Auto Workers, has agreed separately with General Motors and with Chrysler this year to create similar health care trusts for the company's union retirees as part of recently completed national contract talks. It is likely the UAW and Ford Motor Co. will also discuss the creation of a VEBA during contract talks that are expected to start soon.
Jim Mackinnon can be reached at 330-996-3544 or jmackinnon@thebeaconjournal.com.
Goodyear Tire & Rubber Co. and the United Steelworkers have agreed on a proposed settlement that will lead to the creation of an independent health care trust for union retirees.
Get the full article here.
Comments
Click here to post your comments
