Originally Posted by
fullflank
I always wondered why the company even bothered doing this. All they did was move the top out FO pay from year 7 to year 4 and called it a cap. Obviously it's better for FOs. Now captain caps are different.
Because it's a long term contract and now they don't have to increase pay for cost of living even though majors have adjustment for inflation built into the regional contracts. Every year PSA management will make more money from the majors while the pilots make the same (or less if you factor in inflation).
Regionals love long term contracts.