Allstate's Greedy Bean Counters Run Amok

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Re: Allstate's Greedy Bean Counters Run Amok

Unread postby RatPak11 » Sat Feb 15, 2014 6:48 pm

http://www.insurancejournal.com/news/na ... 298541.htm

Allstate Says Book Value to Rise on Cut in Employees’ Retirement Benefits
By Noah Buhayar, Bloomberg | July 16, 2013

Allstate Corp., the largest publicly traded U.S. home and auto insurer, said it’s cutting some retirement benefits for employees in a move that will increase book value by a range of $1.70 to $2 a share.

The adjustments include a new formula for calculating pensions and discontinuing retiree life insurance benefits for current employees, Northbrook, Illinois-based Allstate said today in a regulatory filing. A revaluation of book value, a measure of assets minus liabilities, is expected to be completed this quarter.

“These changes will provide more consistent benefits across employees” and reduce Allstate’s cost structure, according to the filing.

Chief Executive Officer Thomas Wilson, 55, has been seeking to pare costs as near-record low interest rates pressure income from the company’s bond portfolio and claims costs from natural disasters crimp profit. The insurer said this month that it was planning to close a call center in Woodbridge, Illinois, after more inquiries were being handled by agencies.

Allstate reversed earlier losses of almost 1 percent, climbing 14 cents to $51.25 a share at 12:17 p.m. in New York. The insurer has gained 28 percent this year, compared with a 30 percent advance for the 22-company Standard & Poor’s 500 Insurance Index. The insurer’s book value was $43.46 per diluted share at the end of March.

Allstate “continues to provide employees with a strong and competitive benefit package,” Laura Strykowski, a spokeswoman, said in an e-mail. The insurer provides employees with “both a pension and 401(k) plan. Today, just 30 percent of Fortune 100 companies offer both.”

Editors: Dan Kraut, Peter Eichenbaum

Comments:


JULY 16, 2013 AT 11:38 AM
NAN SAYS:
ISN’T THAT THE NEW CORPORATE NORM? CUT THE WORKERS AND REWARD THE INVESTORS… WHERE WOULD THE INVESTORS BE IF THE WORKERS WERE NOT THERE TO FEED THEIR BANK ACCOUNTS? I DOUBT ANY OF THE "INVESTORS" ARE CAPABLE OF SELLING INSURANCE.


JULY 16, 2013 AT 2:08 PM
AGENT SAYS:
LET’S NOT FORGET WHERE THE HOME OFFICE IS. THE GREAT STATE OF ILLINOIS HAS ALL KINDS OF PROBLEMS. STATE FARM MOVED A LOT OF THEIR OPERAIONS TO DALLAS/FT.WORTH AND DECREASED THEIR PRESENCE IN ILLINOIS. I HAVE LITTLE RESPECT FOR THE GOOD HANDS PEOPLE. THEY HAVE SCREWED THEIR AGENTS OVER NECESSITATING A GUILD/UNION TO DEAL WITH MANAGEMENT. THEY BOUGHT ESURANCE TO DO BUSINESS DIRECT AND NOW THEY ARE REDUCING THEIR EMPLOYEES BENEFITS. I GUESS THE EMPLOYEES THEY DON’T CULL FROM THE RANKS WILL BE THANKFUL THEY HAVE A JOB IN THIS ECONOMY.


JULY 25, 2013 AT 10:46 AM
PROBLEM CHILD SAYS:
STATE FARM HAS NOT MOVED A LOT OF THEIR OPERATIONS FROM IL TO DALLAS, IN FACT THEY ARE GROWING AT SUCH A HIGH RATE THAT THEY ARE OUT OF SPACE IN BLOOMINGTON AND ARE GROWING 4 LARGE HUBS ACROSS THE COUNTRY TO ACCOMODATE THAT GROWTH. THEIR CORPORATE OFFICE AND ALL EMPLOYEES THERE ARE IN NO NEED TO WORRY ABOUT HAVING TO MOVE.


JULY 16, 2013 AT 2:24 PM
READER SAYS:
STRICTLY BUSINESS. DON’T TAKE IT PERSONALLY. THAT’S THEIR MANTRA. DID YOU EVER SEE THE MOVIE “THE COMPANY MEN”?



JULY 16, 2013 AT 1:25 PM
KURT SAYS:
LESS IS MORE (LESS FOR EMPLOYEES, MORE FOR OWNERS)



JULY 16, 2013 AT 1:32 PM
PUBLICUS SAYS:
WILSON CUTS THESE EMPLOYEE COSTS – PRESTO, HIS BONUS GOES UP AND THE DIVIDENDS GET FATTER. TYPICAL COUNTRY-CLUB REPUBLICAN CEO THINKING.


JULY 17, 2013 AT 6:35 PM
CELTICA SAYS:
PUBLICUS — READ “RETIREMENT HEIST” TO FIND OUT HOW TRUE YOUR WORDS REALLY ARE.



JULY 18, 2013 AT 1:52 PM
PATTI CAKE IN THE EAST SAYS:
WOW, PUBLICUS…YOU APPARENTLY ARE NOT FOR CAPITALISM.



JULY 19, 2013 AT 3:44 PM
J.S. SAYS:
AH PATTI; YOUR COMPLETE AND UTTER LACK OF UNDERSTANDING OF WHAT THE WORD “CAPITALISM” MEANS IS APPALLING.


JULY 16, 2013 AT 1:33 PM
TIM SAYS:
SOMETIMES THE POLICYMAKERS FORGET THE REAL JOB CREATORS; THE WORKER BEES WHO SPEND DISCRETIONARY INCOME AT THE BUSINESSES OF THE “INVESTORS”, ET AL, IF THEY HAVE THE DICRETIONARY INCOME, THAT IS.


JULY 16, 2013 AT 3:34 PM
BOB SAYS:
MOST OF THE WORKER BEES IN ALLSTATE ARE THE AGENTS SELLING THE PRODUCTS. THEY ARE COMPENSATED ON COMMISSIONS FROM SALES, AND THEY ARE THE ONES WHO GENERATE THE PROFITS FOR THE STOCKHOLDERS.


AUGUST 12, 2013 AT 9:56 AM
AGENT SAYS:
ALLSTATE TREATS THEIR AGENTS SO WELL THAT THE AGENTS HAD TO FORM A GUILD/UNION TO DEAL WITH MANAGEMENT. A LOT OF THE INDEPENDENT AGENCY COMPANIES HAVE BEEN BOMBARDED WITH REQUESTS FOR APPOINTMENTS TO GO INDEPENDENT.


JULY 16, 2013 AT 2:20 PM
SCOTT SAYS:
WHILE THE LAST SENTENCE OF PUBLICUS’ COMMENT MADE LITTLE SENSE, THE FIRST PART WAS GOOD.
WONDER IF THEY’LL CHANGE THEIR NAME TO PROSTATE?


JULY 16, 2013 AT 2:23 PM
LIBBY SAYS:
HOT DEBATE. WHAT DO YOU THINK?
LITTLE SENSE? MAKES PERFECT SENSE TO ME.


JULY 18, 2013 AT 1:54 PM
PATTI CAKE IN THE EAST SAYS:
YOU ARE ONE OF LITTLE SENSE, AREN’T YOU, LIBBY?


JULY 19, 2013 AT 3:20 PM
LIBBY SAYS:
ALWAYS LOOKING TO INSULT ME, AREN’T YOU PC? YOU’RE SUCH A NICE PERSON.


JULY 16, 2013 AT 2:49 PM
AGENT SAYS:
HOT DEBATE. WHAT DO YOU THINK?
GOOD ONE SCOTT. YOU HAVE A SHARP MIND.


JULY 16, 2013 AT 2:59 PM
JW SAYS:
THAT IS SO BAD, IT’S FUNNY.

JULY 17, 2013 AT 9:27 AM
BUTTERFLY SAYS:
SO ALLSTATE BOUGHT OVER ESURANCE. SO, IF ALLSTATE IS SAVING YET MAKING SO MUCH MONEY. THEN WHY ARE THE CLAIMS ADJUSTERS IN THE HAUPPAUGE AREA OF NY MAKING SO LITTLE?

ALLSTATE CLOSES ACQUISITION OF ESURANCE AND ANSWER FINANCIAL
NORTHBROOK, ILL. – OCTOBER 7, 2011

THE ALLSTATE CORPORATION (NYSE: ALL) TODAY ANNOUNCED THAT IT HAS OBTAINED ALL REQUIRED REGULATORY APPROVALS AND CLOSED ITS ACQUISITION OF ESURANCE AND ANSWER FINANCIAL FROM WHITE MOUNTAINS INSURANCE GROUP, LTD. (NYSE: WTM). THE PURCHASE PRICE WAS APPROXIMATELY $1 BILLION. THE TRANSACTION IS EXPECTED TO BE NON-DILUTIVE TO ALLSTATE’S EARNINGS IN THE SECOND FULL YEAR OF OWNERSHIP.


JULY 17, 2013 AT 10:18 AM
AGENT SAYS:
I ASKED SOME OF MY MARKETS WHO WERE IN THE ESURANCE LINE UP HOW THEY LIKED HAVING THEIR COMPETITOR ALLSTATE KNOW ALL THEIR RATES WITH ESURANCE. THEIR MARKETING REPS FACES WERE ALL LIKE A DEER IN THE HEADLIGHTS. I DON’T KNOW OF ANY WHO PULLED OUT OF ESURANCE. I WONDER HOW MANY TIMES ALLSTATE ENDS UP BEING LOW IN THE QUOTES GENERATED.


JULY 17, 2013 AT 11:36 AM
LIBBY SAYS:
IS ESURANCE LIKE A COMPETITIVE RATER THAT GIVES YOU RATES FOR MULTIPLE CARRIERS? IF SO, HOW DO CARRIERS OTHER THAN ALLSTATE MAKE SURE THE RATES THAT ARE IN THERE ARE CORRECT? THAT’S KIND OF LIKE THE FOX GUARDING THE HENHOUSE, ISN’T IT?


JULY 18, 2013 AT 9:36 AM
AGENT SAYS:
LIBBY, AS I UNDERSTAND IT, ESURANCE IS LIKE A COMPARATIVE RATER THAT WILL PROVIDE QUOTES FOR SEVERAL CARRIERS BASED ON THEIR FILINGS ETC. ESURANCE SINGLE ENTERS THE INFO AND OUT POPS THE QUOTES. ALLSTATE HAS CONTROL OF ESURANCE SO THEY CAN MANIPULATE IT HOWEVER THEY WANT. BEFORE ESURANCE WAS ACQUIRED BY ALLSTATE, I THINK IT WAS AN HONEST QUOTING SYSTEM. NOW, I AM NOT SO SURE KNOWING WHAT WE KNOW ABOUT ALLSTATE, THEIR TREATMENT OF AGENTS AND EMPLOYEES.


JULY 18, 2013 AT 11:02 PM
MARK SAYS:
ESURANCE IS AN UNDERWRITING COMPANY, NOT A RATER. THEY DO OFFER A COMPETITIVE RATER, BUT THAT’S NOT WHAT THEY ARE. THEIR WEBSITE IS JUST LIKE PROGRESSIVE DIRECT – THEY’LL SHOW YOU THE COMPETITOR’S RATES.


JULY 22, 2013 AT 3:43 PM
AGENT SAYS:
MARK, IF ESURANCE IS NOT A COMPARATIVE RATER, WHERE DO THEY GET THE RATES OF THE COMPANIES THEY QUOTE? I WOULD THINK THE PARTICIPATING CARRIERS WOULD PROVIDE UNDERWRITING AND RATES BASED ON INFO PUT IN THE SYSTEM. HOW COULD ANYONE TRUST THE RATES SHOWN ON THE QUOTES IF IT IS NOT LEGIT.

JULY 17, 2013 AT 4:16 PM
SCOOTER SAYS:
WHAT THEY DID NOT MENTION IS THAT CEO TOM WILSON GOT A 53% RAISE IN COMPENSATION IN 2012. HIS PACKAGE IS NOW ONLY WORTH $17 MIL.


JULY 17, 2013 AT 6:32 PM
CELTICA SAYS:
IF YOU WANT TO KNOW WHAT REALLY HAPPENED TO THE CORPORATE AMERICAN WORKER, READ “RETIREMENT HEIST” BY ELLEN SCHULTZ. IT WILL TELL YOU EVERYTHING YOU NEED TO KNOW HOW WE GOT SWINDLED BY OUR OWN EMPLOYERS. INTERESTINGLY, GOVERNMENT WORKERS WEREN’T SCREWED OVER (YET) BECAUSE OF GOVERNMENT OVERSIGHT THAT WAS NOT EXTENDED TO THE CORPORATE WORKER.
SICKENING.


JULY 18, 2013 AT 9:42 AM
AGENT SAYS:
HOT DEBATE. WHAT DO YOU THINK?
CELTICA, YOU PAINT WITH A BROAD BRUSH AND ARE INDICTING ALL COMPANIES SAYING THEY ARE SCREWING OVER THEIR WORKERS. THAT IS CERTAINLY NOT THE CASE WITH ALL COMPANIES. WHY DON’T YOU TALK ABOUT PUBLIC SECTOR UNIONS WHO HAVE NEGOTIATED LUCRATIVE RETIREMENT BENEFITS AT THE EXPENSE OF THE TAX PAYER AND WHO ARE BANKRUPTING MANY CITIES ACROSS THE COUNTRY? THERE WAS A STORY RECENTLY HOW A RETIRED FEMALE COUNTY SUPERVISOR IN CALIFORNIA WHO WAS COLLECTING AN ANNUAL PENSION OF $400,000. THERE IS NO WAY TO SUPPORT THAT TYPE OF RETIREMENT PLAN AND AS A RESULT, SEVERAL CALIFORNIA CITIES ARE EITHER BANKRUPT LIKE STOCKTON OR NEAR BANKRUPT.


JULY 18, 2013 AT 12:57 PM
CELTICA SAYS:
AGENT: I ALLUDED TO GOVERNMENT RETIREMENTS BEING OUTSIDE THE SCOPE OF CORPORATE GREED DUE TO GOVERNMENT OVERSIGHT OF GOVERNMENT EMPLOYEES.

UNFORTUNATELY — BUT HARDLY ISOLATED, THE RETIRED COUNTY SUPERVISOR IS AN EXTREME EXAMPLE OF LOCAL COUNTY GOVERNMENTS RUN AMOK. WE HAVE EXAMPLES OF THAT IN OUR OWN COUNTY OF EMPLOYEES EARNING 250K A YEAR IN RETIREMENT WHO STACKED THEIR BENEFITS. THIS IS UNSUSTAINABLE AND JUST PLAIN GREEDY. IN OUR CASE, THE COUNTY SUPERVISORS SNUCK THIS UNDER THE TABLE WITHOUT PUBLIC REVIEW. SHAMEFUL. AND THEY HAVE NO PLANS TO CHANGE IT FOR THOSE IN SYSTEM BUT HAVE GOING FORWARD FOR NEW EMPLOYESS. BIG WHOOP. AT A CERTAIN POINT, I WILL MOVE AWAY TO A MORE AFFORDABLE AREA AS I CERTAINLY WON’T BE GETTING THAT AMOUNT IN RETIREMENT — AND I SURE AS HELL WON’T PAY TAXES TO SUPPORT THAT.

DOES IT PISS ME OFF? YOU BET IT DOES.



JULY 22, 2013 AT 10:00 AM
AGENT SAYS:
WHAT GOVERNMENT OVERSIGHT CELTICA? IF THERE WERE TRUE OVERSIGHT, MANY STATE AND LOCAL PENSION PLANS WOULD NOT BE IN SO MUCH TROUBLE AND SO UNDERFUNDED? THE CITY OF DETROIT JUST FILED CHAPTER 9 BECAUSE THEY HAVE $18.9 BILLION DEBT PRIMARILY DUE TO LEGACY COSTS OF RETIREES. I WOULD SUBMIT THAT UNION GREED IS A FAR WORSE PROBLEM THAN CORPORATE GREED. YOU COULD ASK FFA ABOUT THE STATE OF ILLINOIS HAS AROUND $80 BILLION IN UNFUNDED LIABILITY IN THEIR STATE’S PENSION PLAN.



JULY 17, 2013 AT 6:33 PM
CELTICA SAYS:
HTTP://WWW.RETIREMENTHEIST.COM/

A LITTLE OVER A DECADE AGO, MOST COMPANIES HAD MORE THAN ENOUGH SET ASIDE TO PAY THE BENEFITS EARNED BY TWO GENERATIONS OF WORKERS, NO MATTER HOW LONG THEY LIVED. BUT BY EXPLOITING LOOPHOLES, AMBIGUOUS REGULATIONS, AND NEW ACCOUNTING RULES, COMPANIES ESSENTIALLY TURNED THEIR PENSION PLANS INTO PIGGY BANKS, TAX SHELTERS, AND PROFIT CENTERS.

DRAWING ON ORIGINAL ANALYSIS OF COMPANY DATA, GOVERNMENT FILINGS, INTERNAL CORPORATE DOCUMENTS, AND CONFIDENTIAL MEMOS, SCHULTZ UNCOVERS DECADES OF WIDESPREAD DECEPTION DURING WHICH EMPLOYERS HAVE EXAGGERATED THEIR RETIREE BURDENS WHILE LOBBYING FOR GOVERNMENT HANDOUTS, SECRETLY CUTTING PENSIONS, TRICKING EMPLOYEES, AND MISLEADING SHAREHOLDERS

JULY 20, 2013 AT 10:57 PM
C. CONFUSED SAYS:
I’M ONE OF THE EMPLOYEES WHO’S BENEFITS WERE DROP…LOST THE LIFE INSURANCE PART…AFTER 37 YEARS OF SERVICE AS AN AGENT OF HELP BUILDING THE COMPANY THEY DID IT TO MAKE THE COMPANY WORTH A BUCK MORE ON PAPER…WHEN I RETIRED THE COMPANY GOT BACK FREE OF CHARGE ALL MY CLIENTS AND THE MONEY THEY SAVED BY NOT HAVING TO PAY ME WOULD HAVE FINANCED MY BENEFITS…SO MUCH FOR TRUST…



JULY 22, 2013 AT 10:50 AM
AN ACTUARY SAYS:
YOU’RE IN GOOD HANDS


JULY 22, 2013 AT 1:47 PM
STEVEN STANLEY SAYS:
WELCOME TO THE OBAMA ECONOMY…..NEW MIDDLE CLASS A GOOD PAYING PART TIME MINIMUM WAGE JOB…..OBAMA WILL PUT YOU ON MEDICARE……NO RESPECT FOR WORKERS AT ALL….


JULY 22, 2013 AT 3:59 PM
LIBBY SAYS:
OBAMA ECONOMY? WHERE DO YOU GET THAT? THIS IS CORPORATE GREED AT IT’S FINEST. AND THE GREATEST THINGS ABOUT THE “HAVES” IS THEY DON’T HAVE TO LET ANYTHING TRICKLE DOWN IF THEY DON’T WANT TO. THEY’VE GOT THEIRS.



JULY 22, 2013 AT 6:05 PM
COTTIN SAYS:
WE ARE ALLSTATE AND WE CAN DO WHATEVER WE WANT TO. SAID THE BIG CEO TOM WILSON. IF YOU WORK FOR THIS COMPANY LOOK FOR A NEW JOB. IF YOU HAVE A POLICY WITH THE COMPANY GO TO ANOTHER COMPANY TO INSURE YOUR HOME, AUTO AND LIFE. AND IF YOU LIVE IN AN URBAN AREA ALLSTATE WANT EVEN INSURE YOU. HAVE THE GOOD HANDS DROP YOUR POLICY, STOLEN YOUR AGENCY OR CUT YOUR BENEFITS TO MAY A PROFIT AT YOUR EXPENSE. SELL YOUR STOCK NOW!


JULY 22, 2013 AT 6:13 PM
COTTIN SAYS:
SELL YOUR ALLSTATE STOCKS NOW!


JULY 27, 2013 AT 9:52 AM
LES ANN SAYS:
HMM…WONDER IF THESE CUTS IN BENEFITS ALSO APPLY TO MR. WILSON?

JULY 238, 2013 AT 1:58 PM
CD4MAN SAYS:
DROPPING THE RETIREE LIFE INS IS DEVASTATING TO THOSE IN THEIR 70S AND 80S. IT’S A BREECH OF CONTRACT AND A BETRAYAL WITHOUT WARNING. THEY CANNOT AFFORD THE EXORBITANT RATES TO REPLACE IT. THEY SHOULD FILE A CLASS ACTION LAW SUIT AGAINST ALLSTATE. THIS THE GOOD HANDS LOG TURNED UPSIDE DOWN DUMPING THEM OUT.

OCTOBER 27, 2013 AT 1:26 AM
PATTI SANDERS SAYS:
I WORKED FOR ALLSTATE FOR OVER 30 YEARS AS AN ADJUSTER. ONE OF OUR RETIREE BENEFITS WAS LIFE INSURANCE. I HAD $70,000 AND NOW THEY ARE GOING TO STOP GIVING IT TO US. I HAVE BEEN CHECKING AROUND AND I CAN ONLY GET ABOUT $10-$15 THOUSAND AND IT WILL COST ME ABOUT $280 PER MONTH AND AT 75 WILL INCREASE TO OVER $400 A MONTH. MOST OF THE LIFE COMPANIES WILL STOP GIVING COVERAGE AT AGE 80. SOME WILL PROVIDE AFTER THAT BUT I HAVE TO KNOW THE COST. I REALLY AM UPSET WITH ALLSTATE IN NOT TAKING CARE OF ITS RETIREES. I AM REALLY HOPING TO SEE A CLASS ACTION SUIT AGAINST THEM OVER THIS. I NOTHING SOON, I WILL BE CONSULTING MY OWN ATTORNEY. I GUESS THEY THING THEY CAN GET AWAY WITH THIS, BUT IT IS MORALLY WRONG.


JULY 29, 2013 AT 4:15 PM
NAN SAYS:
CORPORATE AMERICA WINS AGAIN… THIS IS WHAT THE DEMOULAS/MARKET BASKET FAMILY FIGHT IN MA IS ALL ABOUT.. PART OF THE FAMILY WANTS TO CUT EMPLOYEE BENEFITS SO THEY CAN REAP MORE PROFIT. GREED WILL DESTROY THE COUNTRY. OUR COUNTRY WAS BUILT BY MEN WHO THOUGHT ABOUT THEIR FAMILY, COMMUNITY, REGION, BUSINESS AND COUNTRY.. THEY DID NOT FUNCTION ONLY FOR PROFIT. BEING WEALTHY MAYBE ONCE MEANT HAVING A BETTER LIFE THAN YOUR EMPLOYEES BUT TODAY IT IS ABOUT AMMASSING MORE MONEY THAN THAN THE MEN IN YOUR CLIQUE… COUNTRY BE DAMNED!


JULY 30, 2013 AT 1:03 PM
ARTHUR PARAS RETIREE SAYS:
ART PARAS RETIRED AGENT SAYS. ALLSTATE HAS BEEN IN THE LIFE INDUSTRY OVER 50 YRS THEY SHOULD KNOW THAT BY TERMINATING RETIREES LIFE INS RETIREES HAVE NO WHERE TO GO MOST ARE IN THEIR 80S OR LATE 70S PREMIUMS PAID TO MET LIFE ALL THESE YR BENEFITED MET LIFE MY NEW PREMIUM FOR SIMILAR COVERAGE IS $8900/ THANKS ALLSTATE IN SURE FUTRE WIDOWS AND FAMILY MEMBERS WILL APPRECIATE WHAT YOUVE DONE



AUGUST 9, 2013 AT 3:10 PM
DON MCGILL SAYS:
A LOYAL ALLSTATE EMPLOYEE FOR 35 YEARS AND WOULD HAVE BEEN AN ALLSTATE INSURED FOR 50YEARS IN SEPT 2013. I’VE SHOPPED FOR ALL MY INSURANCE, AUTO/H.O./UMBRELLA AND FOUND I SHOULD HAVE SWITCHED YEARS AGO. I URGE ALL RETIREES TO SHOP AND SEE WHAT THE COMPANY HAS DONE, THIS IS JUST ONE OF MANY THINGS INCLUDING MEDICAL BENEFITS AND OTHER PROMISES THEY HAVEN’T KEPT. BECOMING A “STOCK” COMPANY WAS THE BEGINNING OF THE COMPANIES DOWNHILL SPIRAL.


FEBRUARY 11, 2014 AT 10:25 PM
GERARD SAYS:
I THOUGHT ALLSTATE ONLY SHAFTED ITS POLICYHOLDERS BUT IT SEEMS THAT THEY ALSO SHAFT THEIR OWN. GREAT COMPANY HERE!!!
RatPak11
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Re: Allstate's Greedy Bean Counters Run Amok

Unread postby RatPak11 » Sat Feb 15, 2014 7:38 pm

http://www.wdbj7.com/news/local/allstat ... s/22940040

Allstate retirees protest for benefits
WDBJ7 Reporter Frankie Jupiter Frankie Jupiter, fjupiter@wdbj7.com
POSTED: 07:20 PM EST Nov 12, 2013 UPDATED: 07:27 PM EST Nov 12, 2013

ROANOKE, Va.- Some retired Allstate employees say the insurance company needs to make good on its promise to keep their life insurance policies.

Retired workers rallied outside of the Allstate Office on Electric Road. They say they were promised their life insurance policies.

They say they paid into their life insurance policies and that they were told it was an employee benefit that they would keep.

Many were counting on the policy to take care of their final expenses.

They're being told after January 1, 2016 that they would have to pay a monthly premium to keep their current coverage.

“I was sad that the company would do that, I was frustrated with them, now I'm mad. I'm mad they would do this to us because we were loyal. We gave them our best," retiree Kathy Shepherd said.

“I can't tell you how disappointed I am in my company because I was a local dedicated employee and did the very best job that I could. Maybe I wasn't the very best employee but I tried and gave my best for 42 years,” retiree Sherry Thurman said.

Allstate release this statement to WDBJ7:

“Allstate respects and values the contributions of our company's employees and retirees. We have recently made changes to our retirement and life insurance benefit programs for a number of reasons, including to bring us more in line with benefits offered in the marketplace. These changes have been made in accordance with the plan parameters for our various employee and retiree benefit offerings. The company continues to provide employees with a contemporary and competitive benefit package, including a pension, a 401(k) plan and numerous other benefits.”

Some retirees say they can't afford to pay life insurance premiums.

One retiree, a two time cancer survivor, told WDBJ7 that she is uninsurable.
RatPak11
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Re: Allstate's Greedy Bean Counters Run Amok

Unread postby RatPak11 » Tue Mar 25, 2014 4:44 pm

taken from "glassdoor" employee reviews:

http://www.glassdoor.com/Reviews/Employ ... 833790.htm

Mar 8, 2014
“After decades of faithful service to ALL : Salary: FROZEN. Pension: STOLEN”
Adjuster (Current Employee)
Phoenix, AZ

I have been working at Allstate full-time for more than 10 years

Pros – There is plenty of steady stressful work. Lots of overtime. Oh. Wait, Allstate just makes you "exempt" to avoid paying overtime. Work the overtime for free or drown in work stress. *unless you work in CA. ALL got their ass sued their and pays overtime in Cali.

Cons – Tom Wilson makes 11 million dollars a year. Yet, after so many years of employment I've just been notified that I will never see a raise again in my current department because I now earn at the top of the salary band. Which really means inflation marches on and I will earn less every future year. ALL is in the business of making promises but breaks them to employees.

Advice to Senior Management – It should be ILLEGAL to promise me a lump sum pension, year after year after year, then CHANGE THE FORMULA after I have provided 20 years of service. Allstate just ripped me off to the tune of several HUNDRED THOUSAND DOLLARS at my planned retirement age of 65. You broke your promise to me Allstate. And, by designing the new salary bands this year you are actually causing me to LOSE MONEY after inflation from here on out. Shame you lying crooks. I hope a good ERISA lawyer straightens this out for those of us in the 99%. Are you hearing this TOM WILSON?

No, I would not recommend this company to a friend – I'm not optimistic about the outlook for this company
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Re: Allstate's Greedy Bean Counters Run Amok

Unread postby RatPak11 » Tue Apr 08, 2014 12:11 pm

*Congratulations to Allstate's CEO and top bean counter Tommy Boy, for his nice pay raise. With all the negative changes in salary and benefits for the Allstate employees, I thought the company had fallen on hard times. If you haven't already heard, Tommy Boy lowered the salary band so that the Allstate employees will never enjoy a pay raise again-not even in consideration for inflation. Employee morale is abysmal.
And Regarding Allstate's Benefits:
Tommy Boy and his henchmen also changed the retirement plan (again) so that the employees who have been working for years, will get less during their “Golden Years.”
And Allsnake will stop, if they haven’t done so already, paying on their promised Life Insurance policies for their employees and retirees. But hey, it’s great to see Tommy Boy and his henchmen, were able to get their raises and benefits at the detriment of their employees. Talk about making money off employees backs-They took from their workers so they could gain. This is just wrong and there should be a law against it. But, since the corporations hand out money to the politicians like candy to a baby, I don’t expect a correction in ‘doing what is right’ to ever happen here. Allsnake breaks promises to employees just like they do to their customers. There’s just nothing new here.

Ratpak11

http://www.chicagotribune.com/business/ ... 2020.story

Allstate CEO pay rises 9.5 percent
By Becky Yerak
Tribune reporter
9:09 p.m. CDT, April 7, 2014

Allstate Corp. Chief Executive Tom Wilson had total compensation of $18.7 million in 2013, up 9.5 percent from the previous year, according to a Securities and Exchange Commission filing.

“An increase in overall premiums and a 24.3 percent increase in operating income were among the measures of success in 2013,” the proxy of the insurer said of Wilson. The Northbrook-based company also experienced “strong auto profitability,” saw growth in the number of policies on its books for the first time in years, and enjoyed “dramatically improved returns” in its homeowners’ business, the proxy said.

Allstate also paid out $352 million in dividends and made $1.8 billion in share repurchases in 2013, the proxy said. The company’s total return for shareholders in 2013 was 38 percent, the proxy said.

Allstate’s stock price rose 36 percent in 2013, but it lagged the 21-member Standard & Poor’s Insurance Index, which was up 45 percent.

Wilson’s salary and stock awards remained unchanged at $1.1 million and $3.8 million, respectively.

Option awards rose to $4.4 million from $3.8 million.

Cash incentives climbed from $6.2 million to $6.6 million.

His pension plan also increased in value by $2.7 million; in 2012, it appreciated by $2 million.

The proxy also noted that shareholders have submitted three proposals at the upcoming annual shareholder meeting related to stock retention by senior executives, and reporting on lobbying and political expenditures. Allstate is recommending no votes, saying existing practices are already strong.

byerak@tribune.com
Twitter: @beckyyerak

Comments:

John Bartos · Top Commenter
"An increase in overall premiums and ... were among the measures of success in 2013." No kidding. What do you think will happen when people are charged more?
-----------------------------------------------------------------------------------------------------------------------------------------

http://www.chicagobusiness.com/article/ ... ay-package

Allstate CEO Wilson gets $18.7 million pay package
By Steve Daniels April 07, 2014

Allstate Corp. had a good year in 2013. So did CEO Tom Wilson.
The Northbrook-based insurer handed Mr. Wilson $18.7 million in cash, stock and benefits last year, a 9 percent increase over the $17.1 million package he got in 2012.

In its proxy, filed today with the Securities and Exchange Commission, Allstate's board said the company had blown through its financial performance targets last year.

Mr. Wilson was lauded for increasing overall premiums and for a 24.3 percent increase in operating income compared with 2012.

His salary was unchanged at $1.1 million, and he received $6.6 million in cash incentive pay, up from $6.2 million in 2012. Stock awards totaled $3.8 million, and option awards were $4.4 million.

The company's stock price increased 36 percent last year, beating the Standard & Poor's 500 Financial Index return of 33 percent. So far this year, Allstate's stock price is up 2.2 percent compared with a slight decline in the S&P 500 Financial Index.

Last year marked an important turning point for Allstate as its core agent-sold auto insurance business began growing its number of policies sold after six years of annual declines. Still, it wasn't enough to stave off fast-growing Geico, the online insurer that last year knocked Allstate from its decades-long perch as the second-largest car insurer in the U.S.
RatPak11
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Re: Allstate's Greedy Bean Counters Run Amok

Unread postby RatPak11 » Wed May 21, 2014 4:30 pm

*Tommy Boy the head bean counter, has no vision for the future of Allstate Insurance Company except to dismantle the corporation of its expenses. Those expenses would include the claim payouts to the damaged and injured parties that Allstate is contractually liable for as well as the cutting of employees, their salaries, and their benefits. He’s slashing the aforementioned expenditures in order to, in the short run, raise the stock prices. It's just as obvious as the sunny side of Tommy Boy's hairdo. It's a disgrace the shareholders aren't able to grasp the obvious.
Ratpak11

http://www.chicagotribune.com/business/ ... 6876.story

Allstate shareholders overwhelmingly approve top executives' pay
By Becky Yerak
Tribune staff reporter
2:49 p.m. CDT, May 20, 2014

Allstate Corp. shareholders overwhelmingly approved top executives' pay and rejected three shareholder proposals at the Northbrook-based insurer's annual meeting Tuesday.

The average support for all directors who were up for a vote at the meeting, held at Allstate headquarters, was 97 percent.

Slightly fewer, 95 percent of shareholder votes cast, approved the pay of top Allstate executives in what's known as a non-binding "say on pay."

A shareholder proposal that would have required greater stock retention by senior executives got less than 30 percent of the vote.

Two investor proposals on fuller disclosure of lobbying and political spending each received fewer than 10 percent of votes cast, it was announced at the meeting.

Final tallies will be filed later with the Securities and Exchange Commission.

Allstate stock saw a total return of 38 percent in 2013, and the company "is off to a great start this year" despite bad weather, said Tom Wilson, chairman, chief executive and president.

The meeting lasted a relatively short 30 minutes, and shareholders asked only a handful of questions.

One lauded Allstate's stock performance but asked what Allstate was doing to foster diversity in its vendor ranks. The speaker also passed along regards from civil rights leader Jesse Jackson to Wilson.

Wilson replied that Allstate has a diversity day in which 75 potential suppliers are invited in to pitch their goods and services. The company tracks which ones get business and how long they remain suppliers, Wilson said. Allstate also strives for diversity in its ranks of agency owners and claims workers, he said.

A representative from a local hospital system lauded the company for its long-standing efforts to support causes that try to reduce domestic violence.
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