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Old 12-02-2017, 10:03 PM   #23  
DLax85
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Joined APC: Jul 2007
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Quote:
Originally Posted by FXLAX View Post
Doesn’t that increase cost for the company as well, but just targeted to benefit a different demographic than what I was referring to?
Let’s back up, first the entire debate is on how to improve the retirement given the company’s refusal during the last negotiations to increase the A fund cap above $260k

In fact, the company wanted to eliminate the A fund for new hires and only provide a larger B fund, like the pax carriers

Given that, I’ve always been a proponent of keeping our current A fund in a DB format, and adding an increased B fund 12-13%, with cash over cap. This is one reason I voted “no” on the last contract.

The B fund Bump from 7% to 8% to 9% still wasn’t big enough for me. We should have negotiated for more while in formal Section Six negotiations.

I believe we wasted an opportunity to use leverage given the clear undermanning, and pending mass retirements the company was worried about

But many want to sweeten the A fund - and the union is only focusing on a switch to a VB plan to do it.

My contention is there are other options, which will aid the “soon to retire” demographic that feels they don’t have time to benefit from an increased B fund

The current company will want something in return. An additional 1% multiplier for years of service over 25 years strikes a comprise between recognizing pilots are staying longer without overly incentivizing it. It could be extended out to 30 or 35 years.

Earning the current 50% max benefit more quickly (in only 20 years) won’t benefit the company at all. They just incur the same cost more quickly, and perhaps, with greater pilot turnover and replacement/training costs.

I don’t see why they would entertain it

But yes, this whole discussion puts different pilot demographics in different positions

That’s clearly expressed and explained in other threads. It’s very disconcerting.

Last edited by DLax85; 12-02-2017 at 10:24 PM.
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