Proposed Whirlpool health plan leaves many Maytag retirees distressed

The medical plan offered to Maytag retirees last week by Whirlpool is turning out to be a rather unpopular one, to say the least. In fact, it’s hard to find anyone who will say a good word about it. “I think it stinks,” said Maytag retiree Richard Poston. “There’s nothing in this plan that’s very good. I think (Whirlpool) is offering us something they know we don’t want so they’ll get us off their backs.” Whirlpool’s medical plan, intended to bring the Maytag retirees in line with Whirlpool’s current employees, would offer a choice of two options, with either a 20 percent or a 30 percent coinsurance pay, with annual deductible of $500 or $1,500, up to a maximum of $3,500 for the 20 percent coinsurance, or $12,500 for the 30 percent plan. The plan would offer Medicare eligible retirees $35 per month to help pay for Medicare Part D for prescription drugs. Currently, Maytag retirees pay no deductible, and no out-of-pocket money for Blue Cross Blue Shield doctors. Larry Shaver, the UAW Local 997 chairman for Maytag retirees, said the current medical plan was one the union gave up plenty of concessions over the years to get. “We have paid for our health care,” Shaver said, noting workers gave up about $6 per hour in wages since 1971, and in 1989, negotiated to keep Blue Cross Blue Shield by giving up 83 cents per hour in cost of living increases. Shaver said he thought many of the retirees would not be able to afford the Whirlpool plan. “People think Maytagers are rich, but I got folks out there making $800 per month,” Shaver said. “I’ve got questions in to lawyers now, and we’re looking at some other options for medical plans.” Russ Penning, who worked at Maytag from 1959 until his retirement in 1991, said he probably would not buy into the Whirlpool medical plan. “I’ll probably have to go to another plan, perhaps a wrap-around policy that pays that other 20 percent,” Penning said. Mike Maxwell, another Maytag retiree, said the whole situation was very distressing. “We put a lot of money, time and effort into this contract that we thought would always be with us. It’s very disappointing that Whirlpool would do this to us,” Maxwell said. He said he felt that our politicians need to respond to the issue of corporations breaking contracts with their retirees. “Politically, we need to take a solid look at this situation,” he said. “Yes, it’s hard times for corporations, but when they take over a contract, they need to take responsibility for that contract. Can the American worker believe in the corporation he’s working for anymore? Are we doing ourselves good here, or are we pushing the destruct button?” Maxwell asked. The retirees will receive more detailed information on the medical plan in the next couple of months, and beginning on Jan. 1, 2009, the existing Maytag plan is scheduled to end, according to the Whirlpool letter to retirees.