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Insight Newsletter:Layout 1 4/20/17 9:22 AM Page 1 Chevron Insight Newsletter:Layout 1 4/20/17 9:22 AM Page 1 The Newsletter of the Chevron UK Pensioners’ Association IN SIGHT ISSUE 36 Date of last supplementation Spring 2017 For Chevron UK pensioners It was December 2013 INSIDE For Caltex UK Expatriate THIS ISSUE pensioners it was 1st September 2012 General p.1 Chairman’s Letter p.2 - 4 CHAIRMAN MEETS WITH CHEVRON HEAD Various p.5 OF TOTAL REMUNERATION I’ll drink to that p.6 On 21st March Association Chairman Alan Higgins met with Canal pub names p.7 Chevron Global Head of Total Remuneration Taryn Shawstad at Canary Wharf in London. Our raison d’etre p.8 Mrs. Shawstad is based in San Ramon, California. Jokes p.9 Not surprisingly our long awaited pension supplementation Equitable Life p.10 was top of the agenda. Various p.11 Company news p.12 COMPANY CANCEL RETIREE WELFARE PROGRAMME Commencing in 1987 when it was first introduced by Texaco the Retiree Welfare Programme has been a lifeline to former Please check employees of heritage Chevron, Gulf and Texaco. theaddress label Sadly it has been announced that the Welfare Programme on the envelope is no more - but the Association has a cunning plan! for your current All is revealed in our Chairman’s letter overleaf. subscription status 1) Standing Order STRENGTH IN NUMBERS 2) Subscription due In these difficult times it has never been more important for this MMMM/YYYY=date Association to have strength in numbers. Our membership is your annual now over 1000 strong but extra members can only strengthen subscription due. our voice. Please ask your old colleagues and any new retirees 3) FYI you may know to join us. See page 8 for our ‘raison d’etre’. Chevron Insight Newsletter:Layout 1 4/20/17 9:22 AM Page 2 LETTER FROM THE CHAIRMAN Once again here at the very end of March, the daffodils are almost out in Aberdeen, probably a month earlier than usual! It has undoubtedly been quite a different winter here in the northeast of Scotland because thus far, very little snow and many simply beautiful days, albeit very cold but with glorious sunshine! Carpets of crocuses across the city will give way to the beautiful yellow of the daffodils beside all our roads, providing a real lift for everybody heading in and out of Aberdeen! Sadly the industry position in Aberdeen has steadily worsened over the last few months. There continue to be many company closures with literally thousands of redundancies, more than 120,000 in the last two years - and these are having a knock-on effect right across the city! Many other businesses are now being forced to close - shops, pubs, restaurants – and I am sure some of them have gone for good! Saying that however, there are just a few glimmers of hope that maybe the worst is now past, only time will tell! There have also been a number of major mergers in recent weeks. There will undoubtedly be some fall-out from these, but it is generally recognised that the industry is now leaner and more economically effective than has been the case for many years! It is now more than 40 months since our last pensions supplementation! Far too long - with many retiree costs creeping steadily upwards. While we recognise the pressures on the Company during these difficult times, it is just oh so easy to let pensions supplementations become a really low priority and yet so many people who gave their all working for the Company in the past, are the ones who ultimately suffer! Here in Scotland, not only do we have increased taxes imposed by the Scottish Parliament, but now local councils have also been given the freedom to increase council taxes by some 3%, making quite a considerable increase for pensioners to swallow! I am sure it is just the same in England, Wales and Northern Ireland too! Increased heating and fuel costs have also had an effect, the latter then feeding through to supermarket prices, not to mention those other costs like insurance and utilities, that just quietly creep upwards on direct debits while you are not really looking! On the other hand, the banks continue to reduce interest rates to almost nothing at all, which in turn produces absolutely nothing from any savings retirees might have! 2 Chevron Insight Newsletter:Layout 1 4/20/17 9:22 AM Page 3 Inflation is beginning to rise as a result of these price changes. RPI reached 2.5% and CPI 1.6% last month – and continuing inexorably to trend upward. It is also worth making the point that the majority of British companies, as evidenced by members with pensions from sources other than Chevron, report these are reviewed on the basis of RPI and NOT CPI, as Chevron does! However, with the Bank of England now forecasting inflation to reach 2.8% by the first half of 2018, before dropping back to 2.4% in three years time, I think it is actually anyone’s guess as to what the real situation will be by then. But from the current situation, it is now time the Company took note and recognised the plight of their former employees here in the UK. The Association continues to work hard to try and bring these issues to the Company’s attention, both in writing to the Company and seeking meetings with senior Company personnel, to make representations on this extremely unsatisfactory situation. We are also extremely disappointed at the demise of the Chevron Retiree Welfare Programme. We understand that this has been of real benefit to many pensioners since 1987, when first introduced by Texaco. Since the Texaco merger, former employees from the heritage Chevron, Gulf and Texaco companies have received annual advantages, at an absolutely minimum cost to the Company. But what is even more distressing is that this programme cessation has not been announced to retirees from the date of closure - and will not be so until the next edition of ‘Retiree News’! It has just been allowed to wither by word of mouth! I think you will agree that this is rather a sad situation for those who have been involved since 1987. The Association Committee held its AGM in London on 10 November last year, at which time Mr Alan Dennison stepped up to the plate and was elected as a committee member. Thank you very much to him for that! The Committee then held a meeting earlier this year in February, with a number of relevant topics being discussed. We will also hold another meeting in July, to prepare for our AGM on 9 November 2017, which will be held at the same venue as last year, namely Westminster Kingsway College, Victoria Rooms, Vincent Square,London. This in itself raises another very interesting issue. So strongly do many retirees feel about this situation that with some coordination provided by the Association, some former Company LCP’s are hoping to continue to arrange annual lunches in their local areas AT ACTUAL COST. Where such lunches can be arranged with the support of local retirees, they will be entirely independent and in no way subsidised by the Company. If you are 3 Chevron Insight Newsletter:Layout 1 4/20/17 9:22 AM Page 4 interested in attending a lunch in your area, or indeed would be willing to arrange one yourself, then please do let the Association know. As a start, we have a page on our website which details all the lunches we know about and also potential lunches right across the country. (http://www.cukpa.org.uk/newsite/?page_id=1226) If you have any questions, then Dave Poulter and I would be delighted to hear from you – and we will put you in touch with the people local to your area, who may already have something underway. If there is nothing as yet in your local area, maybe you would be willing to get something started? Please do not hesitate to get in touch and we will help if we possibly can. Thank you very much for your support, this is very much appreciated by all. Incidentally, I learned recently that at one time some of the senior managers from Pembroke became ‘Visiting Members’, the forerunners of Chevron LCP’s, when they retired – a really nice touch! We think our volunteers should now be called ‘Lunch Coordinators’ or LC’s – does anyone have any better ideas? In conclusion, while I would like to thank all our members for their continued and valuable support, I would also sincerely like to thank the Association Committee for their continued support, assistance and commitment in keeping everything going as best we can. We all recognise that without this hard work from everyone in their own way, the Association simply could not continue. These are difficult times but it is absolutely essential to stay strong and keep the torch burning brightly for everyone. We can only do our best! Thank you so much for your continued support! ALAN HIGGINS 4 Chevron Insight Newsletter:Layout 1 4/20/17 9:22 AM Page 5 Lessons from Confucius 1. Do not walk behind me, for I may not lead. Do not walk ahead of me, for I may not follow. Do not walk beside me for the path is narrow. In fact, just ‘p’ off and leave me alone. 2. Sex is like air. It's not that important unless you aren't getting any. 3. No one is listening until you pass wind.
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