Originally Posted by
kronan
The VB plan is a Pension plan. Covered by ERISA and PBGC.
In the event of a long, or dramatic market down turn, FedEx is still obligated to meet Pension obligations. Barring bankruptcy, and even in Bankruptcy it Still takes Govt agreement to terminate a Pension plan.
Quick question Kronan. Since all of this still needs to be negotiated, what happens if the company refuses to accept a floor guarantee and the union sends this for ratification and it passes?
Under the VB plan, the company wouldn't have any defined benefit obligations in the event of a long or dramatic market down turn. Wouldn't we, the pilot group suffer all of the losses under that scenario?