Originally Posted by
pilot141
Yes, but preventing the change itself is still (theoretically) in your control (whic means OUR control).
The big thing for you UPS guys (and any American, FedEx or other guys with a B-Fund) is that if the retirement age goes to 65 you can kiss your B-fund good-bye.
I would expect the IRS to freeze B-fund contributions as soon as the new rule goes into effect. So the old guy getting a 5-year extension gets no penalty, but the 32-year-old new hire gets (depending on the company) over $1 million taken away from him with the "promise" being able to work 5 more years. Wow - what a ****ty deal.
This is the crux of the problem - even worse than reinstatements. If the B-funds go away because of this, it will be the biggest theft of income from one group to another in the history of the industry.
The old guys will get the benefit of their B-fund for their entire career, and then watch as it is eliminated for the young guys. Can you make up 25 years of B-fund contributions and growth with an additional 5 years (maybe) in your highest seat? I don't think so, and I'm mad as hell because of it.
Unless there is a specific provision to allow B-Funds to continue, every pilot under 50 should be opposed to this change.
I would think it would be exactly the opposite. I can see the 60+ guys getting their B-Fund contributions frozen, but no way will the B-Fund "go away" for everyone else. Will they stop us from contributing to our 401Ks too. I think not.
My understanding is that at AA there is already a plan in place to have the over 60 guys retire and then continue on as "contractors" on a cash only basis past that point. Kind of like what Delta did for a while with early retirements. I'm not sure what Brown has decided to do but I heard it was in the new contract.
The B-Fund isn't going away!