Originally Posted by
BenderRodriguez
I was referring to 50% RATE reduction not 50% in dollars. And even in dollars, you must have some kind of W2 to expect 100k in PS.
OK, now I am confused, wouldn't a 50% rate reduction by definition equal a 50% reduction in dollars?
And think about the numbers. Last year we received about 16% in PS. This year we are expecting around 22%. If you will accept a 50% cut in PS for a 15% raise you are basically saying you will accept a 4% paradise.
22/2= 11%. Would you really agree to a 15% pay raise if it cost us 11%?
This is the problem with cutting PS - the potential gains are mind boggling. Last year we received 16%, we are estimating about 22% this year. Lets say we get 25% the following year. If we take a 50% hit in PS it could equal a 12.5% pay cut So even if we received a 20% raise on day 1 it could equate to a mere 7.5% effective pay raise.
Who here would be satisfied with 7.5%?
One final point. We all understand profits go up and come down. Profits may be great for the a year or two and then plummet. Well, keep in mind we are basically looking at a three year deal. I really don't care what may happen in five or ten years - that will be two or more contracts down the road.
Scoop