Originally Posted by kronan

Salty-the thinking is Negotiate it Once and be done for ever. As I understand the UPS FDA option, it's renegotiated every contract. Payout option is roughly 75% of the Captain FDA value for FOs, and maxes out at 30 YOS.

Tentative VB proposal is unlimited YOS...FedEx has had the odd 28-early 30s hire.
And a predictable funding requirement, with the safety valve of a Reduced Pension Assets requirement in Bear markets\severe economic downturns.
As proposed, there's a 2% floor to Pension Benefits.

As has been discussed, that 2% floor is NOT the equivalent of a 2% FAE.
But, as has been Modeled with the Actual Market returns from 99-2016 and then an assumed return equal to the targeted rate of 5% it is superior to our Current A plan.

As Compared to our Current 130k Pension Plan-returned a benefit 31% better for a 25 YOS new hire and a benefit 3% better for a 15 YOS new hire

The Best Outcome would be modifying our A plan. Tying it to IRS Qualified A plan limits which would result in a 220k Pension which would be a 70% improvement over our Current 130 A plan. And, restoring it to a similar value as the Pension created in CBA 99