Regarding the recent round of layoffs and buyouts, a reader says in an e-mail: "We're not really expecting layoffs at our Gannett site. But, hey, you never know. I'm curious about the differences in layoffs vs. buyouts. It seems that in a buyout you have some time to prepare -- prepare some financial stuff, gather some hard copies of story "clips" for your next job application, etc. In the event of layoffs, can they pretty much just throw you out at a moment's notice? Can you gather previous work you've done? And a 401(k) is portable (not linked to the company) -- right? My contributions wouldn't be lost if I were canned by the company?"I can answer some of your questions: 401(k) contributions you make with your own money are always yours. The company's matching contributions are yours once you are fully vested. And, yes, your 401(k) is portable: You can roll your assets into another company's plan (assuming that company's rules allow it), or into an Individual Retirement Account.
Related: Gannett's Hewitt-maintained employee benefits page, with information about 401(k)s and health insurance.
Got more advice for this Gannett employee? Please post your replies in the comments section, below. To e-mail confidentially, write gannettblog[at]gmail[dot-com]; see Tipsters Anonymous Policy in the green sidebar, upper right.
Your 401(k) contributions are YOURS... That value is whatever the market value is at the time you either decide to cash in or transfer to your next job or another form of investment and depends entirely on what you have it invested in... But this is just what YOU'VE put into the 401(k). If you've been with Gannett for 5 years then you are VESTED in the company and also are entitled to the money that GANNETT has put into your account. This is the money that they MATCHED against your investment... and it is yours to do with as you please (move, cash-in, etc.)... And if you've been with the company for awhile you'll be entitled to a pension... so don't be shy to ask about that...
ReplyDeleteAs far as your first question... It depends on your boss and company... When we had our first and second round of "layoffs" it was "we'll give you a few minutes to collect your things and out the door." When it's sudden like that they don't want angry employees sitting around talking and getting everyone else angry and upset... So they'd rather show you the door quickly... If it is for a buyout then they know you are the one making that choice so you're obviously not upset at leaving...
My suggestion would be if you are not prepared and it happens to you, I would say, "can I come back after hours or over the weekend and gather my things." They will probably have someone sitting with you or close by to make sure what you are taking is actually yours. I would be careful on asking for story "clips" because they might look at those as company owned property even though you were the creator — Anything you wrote, designed or created on company time for the company will be Gannett property. My advice would be to have everything you were interested in having copies of done ahead of time... It wouldn't be a bad idea to have your portfolio up to date at all times because NO ONE knows what's ahead.... and it's just good practice...
@10:03, actually you can be vested must earlier than only after 5 years. I think I was vested after 3 and I only stayed at the company for 4.5 years and am completely vested.
ReplyDeleteanon@12:17... You are correct... My mistake... It's the pension you have to be here 5 years to be vested. The 401k is 3 years...
ReplyDeleteThat was Tara @10:03 getting bad advice from Roxy!
ReplyDeleteyeah... it's me tara... like I care what you fools are doing...
ReplyDelete