The current VEBA is different from the 2007 contract. The current one everyone participates.
The VEBA that I and others do not like was given to pilots who had reached age 53 by contact signing. They had an account funded by the company and money that was to go to the crew force for wet leasing outside of three months allowed. $25k was put into each pilots accounts that could be used for health care expenses after retirement. The money grew with time. Was supposed to be a bridge between mandatory 60 retirement and Medicare at 62.
Then the age changed and they all got to keep the $25k even if they stayed until 65. Great deal for them. Screw job for everyone else. Flew with a guy awhile back and he said his account had grown to $33k.
Cutout’s for senior pilots here never seem to end. I am will be senior with the next contract so the cutouts will probably end then!
Originally Posted by
FXLAX
From what I The understand, our VEBA is an account funded by FedEx, tax free, for the purposes of reimbursing us for part of our Medicare costs, post age-65. Personally, I don’t see this as a senior versus junior issue. As a junior person, I look forward to being able to benefit from this just like I do for the pension.
Even if it’s as you describe, I still wouldn’t have a problem with it. If it incentivized pilots retiring before 65, I feel it’s a good thing. My seniority progression will accelerate and I may be able to use that benefit if I choose to retire early as well.