The Massachusetts Bay Transportation Authority (“Authority”) and the Local 589, Amalgamated Transit Union, AFL-CIO (“Union”) entered into a new Pension Agreement that made important changes. Those changes included the creation of a two-tier pension benefit structure consisting of the Group A Plan and the Group B Plan. The Authority and Union entered into a side letter on January 29, 2024 (the “Side Letter”) that made two changes for employees who became Members of the Fund on or before June 30, 2023 (each, a “Qualified Member”).
- First, the Side Letter extends the period for a Qualified Member to elect to join the Group B Plan. In order for a Qualified Member (who did not previously elect to join the Group B Plan) to elect to join the Group B Plan, the Fund must receive such Qualified Member’s election by March 29, 2024.
- Second, the Side Letter permits each Qualified Member who elected to join the Group B Plan to revoke their election and revert back to the Group A Plan. To do so, the Fund must receive such Qualified Member’s revocation by March 29, 2024. Please be aware that once revoked, such Qualified Member will not have the option to elect to join the Group B Plan again.
Please also note the following:
- Please note that if you are either (i) a Qualified Member who previously elected to join the Group B Plan and do not wish to revoke your election, or (ii) a Qualified Member who did not elect to join the Group B Plan and do not wish to elect to join the Group B Plan, then no further action is required.
- The Authority and Union will not make any additional extensions for Qualified Members to join or revoke their election to join the Group B Plan.
Please see the Retirement Fund’s letter to Members regarding the Group B election extension. The Retirement Fund has also prepared this Benefit Comparison Guide and PowerPoint for your reference. You may also consult our new supplemental FAQs for information specific to the Group A and Group B Plan’s
