Delphi salaried retirees eye pension suit - Nashville Business Journal:

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If not stopped, retirees fear that the move coulx drastically cut the value ofyounger ex-white colla workers’ pensions by as much as 50 percent, said James Frost of Clarence, a boardd member and organizer of the Delphu Salaried Retiree Association. The legal actionj is being spearheaded by 100 to 200 retirees in Ohio who belony tothe 5,400-member DSRA but who are acting on theid own, Frost said. “We (the DSRA) are serving as supportr by gathering information and sharing it with all our memberw and by contacting legislatorz aroundthe country,” Frost said.
“We are not startiny our own (legal) actioj because it would duplicate what they are The opposition sprang out of the modified reorganizationm plan Delphi disclosed onJune 1. The to emerge from Chapter 11 bankruptcy, said it wouldx cancel its pension obligations and have assumse thehourly workers’ pensions and the PBGC take over the salariex employees’ plan. Frost, who worke d at GM for 25 years and at Delphifor six, said hourlh workers’ pensions won’t be affected “at least in the short term” but salaried workers who retired at 55 coulr lose half the value of theirs. “We want our pensions also to be transferre dto GM,” he said.
The suit woulcd charge Delphi, GM, the union, II and the U.S. Treasury with collusion againstthe retirees. In the reorganization plan for GM’s former parts operation, II LLC a unit of Platinum Equity — would acquires and operate Delphi’s U.S. and businesses by supplying $3.6 billion in capital.