Upshaws Retirement Plan Offer A deliberate Insult

Below is my response to the NFLPA and NFL office announcement about the Retirement Plan. Only about half my response is below, I’ll finish it after I have done a little more research on the published numbers. Upshaw’s offer is and insult and he means for it to be an insult.

Paragraph 1 Upshaw has told the retired players repeatedly that whatever increases in benefits will be voted on and approved or disapproved by the current active players when they report to camp. Now Upshaw announces he and the league office have decided what the meager increases are going to be. Nothing ever turns out to be the way Upshaw and the NFLPA say it is. There is today a mention of a lawsuit decision in Minneapolis that enabled this insulting offer to take place yesterday. The Minneapolis court must have crowned Upshaw King. Now he gets to dictate terms rather than have the active players vote on the amount that retired players benefits shall be.

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1) “that the NFL and NFLPA value at $120 million” is a statement that only means they collaborated on what makes up this questionable claim of dollar value and has nothing to do with the actual value of the benefits since the NFL and NFLPA have a history of publishing false deceptive self serving misleading values and comparisons for instance with Major League Baseball’s pension plan.

2) Upshaw’s article in his own newsletter The Audible March issue page 2 column 2 says that “Each team is currently paying nearly $15 million per team for player benefits.” 32 teams times nearly $15 million equals nearly $480 million for the league.

3)Upshaw provided number to Ray Schoenke that each team had $3 million to $4 million per team for a meeting on 5/15/06 that Upshaw showed up for by “surprise.” That would be $3.5 million per team times 32 teams = $112 million.

4) For that meeting 5/15/06 Upshaw told Schoenke that $30 million had already been set aside for a new Medical Savings Plan.

5) Upshaw told that meeting that Aon’s actuarial analysis of what funds would be available to be paid to increase retired players benefits had been completed and he Upshaw knew it would only allow a 10% to 20% increase.

6) The next day Upshaw told a telephone conference call that I participated in that Aon’s actuarial analysis had not been completed. But he didn’t think there was enough money to give retired players more than a 10% to 20% benefits increase.

7) Upshaw didn’t mention in either meeting that the CEO of Aon the plan actuary that he depends on was Patrick Ryan a Chicago Bears owner. Neither did he mention that Aon his plan actuary and insurance scheme mentor was settling a corruption case with Elliot Spitzer and two other state attorney Generals for $190 million for “cheating customers.”

8) MLB pays almost $7million a month in benefits, that gives everyone an answer for the NFL offices Allieo most recent PR diversion is that “the NFL pays out $5 million a month.” Tell him that is $2 million a month less than baseball pays out? Why the statement, nothing of more substance to say. How about comparisons to the “steel and airlines” industries.9) Now our NFL benefits are the “We are proud to have the most extensive benefits package in professional sports,” which seems to mean that Upshaw/Aon/Groom Law have a broader range of cash trapping insurance, investment, and service schemes than any other sport. It certainly doesn’t mean the NFL’s extensive benefits package is better than MLB’s or that NFL Retirement Benefits are even half as good as MLB’s. It is what one says when you are speaking to the great unwashed selling them the idea that you are not cheap greedy bastards hoarding $1 billion “for devious reasons” in a pension plan rather paying it out to the beneficiaries it is meant to be paid to.

10)More PR fodder. Tripling benefits for widows and survivors if their husbands/fathers die before starting to draw their pensions age 45 or 55. That may affect half a dozen cases in the next 20 years. How thoughtful of the Upshaw/Aon/Groom Law cabal. Perhaps it is designed to discourage vested retired players from drawing their pensions opting to keep this widows benefit in place for an extended period of time thereby trapping more cash in the plan for Upshaw/Aon/Groom Law to “manage” and collect fees from. Groom Law’s fees have been over $5.6 million for 2004 and 2005, fees paid to them for defending the retirement plan against play beneficiaries, in disability cases and more subtle machinations that hold down benefits paid out to retired players thereby increasing the plans credit (actuary) rating making it more “secure” to do business with.

11) $120 million divided by $19.4 million the amount it took to double benefits in 2002 to $14,451 shows that for every $19.4 million benefits can be raise $7,225. $120 million divided by $19.4 equals 6.18 so 6.18 times $7,225 equals $44,650. With $14,451 as the starting point and adding $44,650 average benefits could be $59,101. The number of people covered has grown by just under 6% from 9,000 to 9,560. So reduce the benefits by 6% so 94% of $59,101 gives $55,555 average benefits. Now ask Mrs. Mackey if she would rather have an average of $55,555 a year or the Charitable deal the NFLPA just cooked up to become another cash trapping device like all the other Upshaw/Aon/Groom Law schemes.

If Upshaw and his cronies didn’t deny the widows and survivors husband’s decent benefits before they died the widows and survivors wouldn’t need his magnanimous PR largest now, which is actually little more than PR puff.

On July 27, 2006 “The current players have great respect for the heritage of the NFL and the former players that have contributed to the league’s success,” said GENE UPSHAW,
Is that the same guy talking who told the Charlotte Observer 1/16/2006 “For these guys to say what they get is peanuts, they’re being ungrateful,” ($14,451 a year average benefits is peanuts.)

I recall these additional Upshaw remarks in that article. “The bottom line is I don’t work for them,” he said. “They don’t hire me and they can’t fire me. They can complain about me all day long. They can have their opinion. But the active players have the vote. That’s who pays my salary.” (Which is $3 million a year for 20 hours a week) “They (retirees) say they don’t have anybody in the (bargaining) room. Well, they don’t and they never will. I’m the only one in that room. They’re not in the bargaining unit. They don’t even have a vote.”

Upshaw’s NFLPA salary is $3 million a year; that is $250,000 a month, $11,363 a day, $1,404 an hour) Upshaw is scolding retired players in general calling them “ungrateful” knowing that 325 of those retired player beneficiaries, older than 62 get only $112 per month vs. his $250,000 a month. Upshaw also knows the average retired players pension benefit is a below poverty level $14,451 a year. Which he is paid even after he admits spending 20 hours a week average working on the PAT.

What was that he said again on July 27, 2006 “The current players have great respect for the heritage of the NFL and the former players that have contributed to the league’s success,” said GENE UPSHAW,

Notice Upshaw didn’t say he had “great respect” he spoke for the current players. The question remains does he really speaks for the current players?

There has been no peace made between the retired players and Upshaw between 1/16/06 and yesterday 7/27/06. In fact the relationship between Upshaw and the retired players is at an all time low today July 28, 2006. His manipulations are rooted in vengeance against the retired players who criticized him and his 25% increase announcement is an attempt to punish the retired players for that criticism.

Joe Montana’s statement is as true today as it was when he told the Charlotte Observer “Joe Montana, who quarterbacked the 49ers to four Super Bowl titles, said he has nothing against Upshaw personally, but believes the NFLPA needs new leadership. “The NFL is the worst represented league, on the players’ side, in pro sports,” Montana said.

Mike Ditka said in the Baltimore Sun about Upshaw and the NFLPA “I’m very aggravated with the players association; I’m very aggravated with Gene Upshaw. I don’t think they do enough. I don’t think they do anything.”

Paragraph 3 Obnoxious grab Upshaw and the ship are taking on water.