Originally Posted by
baseball
So group A says the value is X
And group B says the value is Y
So, why does ALPA care? Does the R and I committee get to unilaterally establish the dollar amount or does the company have the right to refute it? Or, does a third party company, say group C get to value it as Z? Or is this something that will go to arbitration to group D in order to come to a valuation somewhere between X, Y and Z?
Why wouldn't ALPA go with the most beneficial figure to the pilot group?
Baseball,
If I understood the issue right, it is the variable aspect of paying LTD benefits that is the issue. Those unknowns either require maintaining a buffer, or paying a fee to a third party company to handle the risks versus rewards of taking that obligation.
Knowing exactly how much money they need to hold back is not a blue v.s. black and not a company vs. union the way I understand it. The R&I will have to do an awesome job predicting the future or pay "insurance" to cover that variable for the old CAL plan.
V/R
SP