Originally Posted by
Check Essential
Not exactly true.
We won't take any hit on the profit sharing for this year.
Read the fine print.
For 2012, we get 15% until profits reach $2.5 billion; the 20% kicks in when profits reach $2.5 billion, just like the previous contract.
It used to start at $1.5 billion in the pre-merger BANKRUPTCY contract, when DAL was about 60% the size it is now.
It will be interesting to see how much we gave back with that item, if "very little" is considered "interesting".
It will be REALLY interesting in 2013 when the 15% drops to 10%, if you factor in that the increase in pay of 12.84% and the other soft money of 3-5% will all but offset the
That little detail could cancel out an entire 2.2% of the one of the 4,8,3,3 "raise numbers" in a "worst case scenario", but if the company isn't profitable I'm glad we got hard money like most pilots have been wanting for a while since many have said they don't trust profit sharing.
It's OK though. We brilliantly negotiated to get paid more hours each month for the same amount of work to make up the loss.
FYP
Public Math:
At $1.8B profit, the PS percentage is roughly 7.28% under the 15% plan.
At $1.8B profit, the PS percentage is roughly 4.85% under the 10% plan.
Total pilot payroll costs will be roughly 15% more in 2013 (pay tables 12.84% and let's be conservative and say 2.16% work rules/soft time).
Old PWA: $100k plus 7.28% bonus = $100,000 + 7,280 = $107,280
New PWA: $115k plus 4.85% bonus = $115,000 + 5,577 = $120,577
You see a pilot making $1,803 LESS in 2013 with the new agreement.
I see that same pilot making $13,549 MORE in 2013 with the agreement.
Was the PS change worth it?