General Motors Corp., which had been suffocating under the weight of costs related to health benefits for retirees, off-loaded those costs to a new fund run by the United Auto Workers labor union. Could major telcos do something similar?
The General Motors plan is still seen as an experimental approach, but some telcos have acknowledged they are watching this strategy closely. Like many American corporations, telcos are beginning to see retirees out-number existing employees, with retiree health care benefit costs presenting a major hurdle to running lean, cost-effective operations.
For more:
- Bloomberg.com covers the possibility