questionsif your company had a 401k match and suspended it…


My company never terminated the company match in the 401K during the bad times. Instead, they terminated 40,000 people.

One interesting thing they did was get rid of our pension plan. The company is still contributing the same dollar amount but they decided to put it into the 401K instead. I'm wondering why if it's the same amount of money. The only thing I can think of is the cost to manage multiple account types.


The company I work for used to do a 50% 401(k) match. That disappeared about 6 years ago and hasn't been seen since. But now that we're about to be bought out by another company, who knows?


@cengland0: Wow, that's a lot of people to have lost their jobs. We ended up taking pay cuts across the the whole company so that no one would lose their jobs, and once things got better, they not only gave us our pay rate back but gave us each a check for the amount that we had given up - they made us whole again pay wise, which was really awesome of them. But those of us who participate in the 401k would like to see the match come back because that was a type of pay cut too.


@wingnutzero: A 50% match is something I could only dream of! Our company only matches 50% of the first 6% and that's the limit. Hopefully the new company that buys yours out will have a great match plan of some sort!


I'm sorry @jsimsace, I wish you had a 401k too :-(


@lmensor: The scary part is that:

1. I suspect we haven't yet terminated those 40,000 people so I could be one of them next.
2. The plan was to terminate these people through natural attrition meaning that they wouldn't fire anyone but not rehire them if someone quit.
3. Not as many people quit as they expected. In fact, we agreed to hire thousands of people coming home from Iraq.
4. Nobody has mentioned how that will impact their ability to reduce the staff like they wanted. So do they need to terminate the 40,000 plus an equivalent number of veterans that were just hired?
5. Some of the jobs are critical and if those people quit, they still need to be rehired.

In summary, I could be fired at any moment and my stress level is hire than it has ever been.


@cengland0: That is really scary, I hope the best for you!