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View Diary: Hobby Lobby- Retirement Plans Invest in Companies Manufacturing Contraceptives (143 comments)

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  •  Oops, a small math correction (10+ / 0-)

    From the article liked in diary:

    All nine funds—which have assets of $73 million, or three-quarters of the Hobby Lobby retirement plan's total assets—contained holdings that clashed with the Greens' stated religious principles.
    That means that the 401k plan is worth around $97 million split between 13,400 employees. that's $7,246 per employee.

    Still, not much to take into your golden years.


    Every time my iPhone battery gets down to 47%, I think of Mitt Romney.

    by bobinson on Tue Apr 01, 2014 at 08:33:39 AM PDT

    [ Parent ]

    •  Good point, but-- (9+ / 0-)

      I'll bet $7246. is more than the average American has saved towards retirement. I say that not to support HL, but rather to point out Americans(and my) dismal savings rate. Of course, if it takes every penny you earn simply to live you can't save, now can you?

      The better I know people, the more I like my dog.

      by Thinking Fella on Tue Apr 01, 2014 at 08:41:04 AM PDT

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    •  You're assuming that it's split equally (6+ / 0-)

      which is probably not the case.  So your average cashier (probably mostly female, btw) is not getting even that much.

      "We *can* go back to the Dark Ages! The crust of learning and good manners and tolerance is so thin!" -- Sinclair Lewis

      by Nespolo on Tue Apr 01, 2014 at 09:35:07 AM PDT

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    •  Not Evenly Split (14+ / 0-)

      It's entirely possible, and I'd say most likely, that the $73 million is concentrated towards the owners and their nepotistically employed family. Even if just proportional to other compensation - and I bet there are other favors in the retirement plan hidden further from casual eyes.

      If you look at the cash matches last year, it was average $283 per employee. That's a better indicator of the "generous" amount HL gives to employees. And of course if HL cancels the retirement plan, as corporations are now allowed to do if they jump through certain hoops, the non-family/crony employees won't get any of it, and the HL family will get it all.

      "When the going gets weird, the weird turn pro." - HST

      by DocGonzo on Tue Apr 01, 2014 at 09:52:16 AM PDT

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      •  Not sure that's correct (5+ / 0-)

        It's a 401k. I manage my company's 401k. If I cancel it out and take all the money for myself, I go to federal prison for a long time. The employees get annual statements showing how much they have in their individual accounts.

        But yes, it is probably structured in a way that the owners can contribute around $47,000 per year from their salaries while employees can contribute only around $16k per year. That's baked into federal law. Other than that, the rules for the corporate folks must match the rules for the employees. The company match has to be the same rate.

        Another thing I should account for is that employees can likely roll their 410k balance out of the HL plan into an IRA if they choose. 401k's are set up for portability.

        My company is small. I am unaware of the legal hoops that giant corporations can use to steal retirement accounts. Those are probably used in defined benefit pension plans and not 401ks. Wisconsin Governor Walker knows all about those.


        Every time my iPhone battery gets down to 47%, I think of Mitt Romney.

        by bobinson on Tue Apr 01, 2014 at 10:30:47 AM PDT

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        •  Stealing Retirement Accounts (3+ / 0-)
          Recommended by:
          mungley, hbk, Intheknow

          If HL sets it up so anyone can contribute up to $47K a year, but only family and cronies make enough to spare anywhere near that amount, then the majority of the $97M is going to be from that family/cronies contributions.

          I don't know about 401Ks specifically, but I don't believe anything is safe when it's not in the employee's hands.

          "When the going gets weird, the weird turn pro." - HST

          by DocGonzo on Tue Apr 01, 2014 at 11:44:20 AM PDT

          [ Parent ]

    •  Only if (1+ / 0-)
      Recommended by:
      Intheknow

      every employee has an equal share. Their lowest hourly wage earners and part time workers probably don't have any share of it at all.

      Fear doesn't just breed incomprehension. It also breeds a spiteful, resentful hate of anyone and everyone who is in any way different from you.

      by awesumtenor on Tue Apr 01, 2014 at 12:48:49 PM PDT

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