Originally Posted by
XHooker
The point to having it controlled by a third party is the money can't be taken in Chapter 11, Chapter 7, hostile takeover, whatever. Even if it was controlled by the company (which it wouldn't be), the amount we're talking about would likely be below the PBGC maximum payout. Obviously, an unprecedented long term market downturn can wipe out pooled funds, but individual funds would be gone for many pilots before then anyway. One of the good things about an A Fund/DB is the security from having money pooled to smooth out market returns over the long haul.
I'm not pushing the idea and don't think it matters because there are so many obstacles (our previous experience with our DB plans; How is it administered? Where does the seed money come from?, etc.) to implementation, but I don't think it's necessarily a bad idea.
Right up the point where the true party that administers you pension starts referring to it as an “ unearned entitlement” when after years of sly underhanded mismanagement it goes broke. I think you need to get your head examined if you feel that placing your future in the hands of an entity that you have no say or control over sounds like a good idea to you.
Jimmy Hoffa anyone?