Your Pension Benefit
Your monthly benefit from the Retirement Plan is based on the following formula:
Final Basic Weekly Pay
Converted to
Monthly Equivalent Pay *
×
1.5% ×
Credited Service
Up to 25 Years
PLUS
1.6% ×
Credited Service
Over 25 Years
=
Monthly Pension Benefit
Basic Weekly Pay as of 30 days before retirement/termination date, rounded up to nearest $10, multiplied by 52 weeks, divided by 12 months.
The following example illustrates the calculation of benefits for a hypothetical employee age 65 who retires on July 1, 2011, with 30 years of credited service. The terms "basic weekly pay" and "credited service" are defined after the chart.
  • Basic Weekly Pay as of June 1, 2011 = $1,384.85 ($1,390.00 after rounding)
  • Monthly Equivalent Pay = ( $1,390.00 × 52 / 12) = $6,023.33
  • Credited Service = 30 years
Monthly Equivalent Pay
 
Formula
 
Monthly Pension Benefit
$6,023.33
×
{(.015 × 25) + (.016 × 5)}
=
$2,740.62
Basic Weekly Pay
Your "basic weekly pay" is equal to your straight-time rate of pay for the basic work week as of the 30th day before your retirement/termination, not including any temporary upgrade pay, or premium pay, or any benefits of any kind, rounded up to the nearest ten dollars.
This rate of pay is increased:
  • by 2.75 percent for all clerical employees who received the 1988 lump-sum payment; or by 3.75 percent for clerical employees who received the 1988 and 1989 lump-sum payments; and
  • by 4 percent for all former Pacific Gas Transmission Company employees who received the 1991 PGT lump-sum payment; and
  • to a minimum basic weekly rate of pay of $1,242.59 for calendar year 2011, as increased in subsequent years to reflect applicable general wage increases.
Special rules may apply to the determination of the appropriate basic weekly pay in the event that:
  • You have at least 10 years of credited service and, due to a lack of work situation or physical disability, you are demoted, or you transfer or bid down before your retirement date;
  • You are an inactive employee not on long-term disability; or
  • You are receiving long-term disability benefits.
Additional Retirement Income
A special Plan feature also provides for an additional monthly pension for Plan participants who receive shift premiums, Sunday premiums and nuclear premiums. This additional benefit is based on the average monthly straight-time premium received in the calendar year before retirement.