401(k)s Are a Negligible Source of Income for Seniors

[turbinetree]

62. This is correct..............................

the mechanics group and the pilots group were the owners, we took over to get rid of Steve Wolf.
We gave up one of our breaks, and part of pay increase to buy the company on the aircraft mechanics side, if you worked overtime you applied that money to the stock.
When 9/11 happened people were going around and saying don't worry, I looked over at my lead and told him he was nuts, 30 days later the lay-offs started, the first of over 2000 plus, 1 year later, the stock was at 1.45, when we were told we could unload the stock, they, Wall Street had put a hold on the sale.
Wall street would not honor the certificates, they just wouldn't, and this one of many of why I do not like Wall Street.
They did not want to give the pilot and the mechanic owners any funds to keep the company operating, they started selling off assets for collateral-----------------it was amazing to watch in horror.
When you are a employee owner you need 50+ 1 majority to sell
I know a man on the mechanic side that lost over 750,000 dollars, I lost around 100,000.
People do not know what the consequences of what happened on that day, besides the death and the outright ineptness of willfulness of the Bush administration and what they caused, the absolute long term ramifications.
At American the mechanics gave the company ideas to keep cash flowing, taking a pay freezes, but they also filed for bankruptcy-------------the power of the shell game with wall street sitting in the back ground always looking at what they can do, just like vultures looking for a meal.

If you make a certain amount of money it determines what you get in the PBGC plan, of the defined benefit, when they take over the account, this is one reason why people should have a defined benefit instead of a 401k, the defined is protected, even if it is a small amount


Honk--------------------for a political revolution Bernie 2016