Originally Posted by
pwdrhound
Payrates: Industry standard - Delta plus a nickel
Retirement: Current $130K retirement (effective 1999) adjusted for inflation: $232,307.50 / year (at end of 2022)
Value of $130,000 from 1999 to 2022:
$130,000 in 1999 is equivalent in purchasing power to about $232,307.50 today, an increase of $102,307.50 over 23 years. The dollar had an average inflation rate of 2.56% per year between 1999 and today, producing a cumulative price increase of 78.70%.
This means that today's prices are 1.79 times as high as average prices since 1999, according to the Bureau of Labor Statistics consumer price index. A dollar today only buys 55.960% of what it could buy back then.
The inflation rate in 1999 was 2.21%. The current inflation rate compared to last year is now 7.11%.
Our retirement must have an adjustment rate attached to it based on government inflation rates or an agreed upon value!!
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If we agree to anything less, WE ARE MORONS!!!!!!!!!!!!!!!!!!!!!!!!!
In June of 99, Pay rate was $183.37 and Intl Ovrd was $6.50. In order to get to a $130,000 pension, an International Capt had to work just over 1369 CHs (and there was no block over 10 override), and not as much international flying. Domestic Capt had to work just under 1418 CHs.
So, work the same math magic for a $94,935 Pension which is what a 1000CH a year International guy would've wound up with.
Or, go to Dec 2003 for the last payrate of our 99 CBA (18 month longevity raises...even worse if you consider the 98 agreement implementation was delay to summer of 99)
But I digress, last pay rate was $206.24
We had the possibility of a $130k retirement in 99.
If you go with a simple 1000CHs, that pension wasn't achieved until after the Bridge TA was passed and the Pay Rate upped to $253.02 in March of 2011. (International Ovrd up to $9 in that TA)
If you use Min BLG, don't hit that pension until the pay rate exceeds $294, which was achieved in November of 2016 after the first longevity raise to our pay rate to $295.27.
It's a great emotional argument. But if it was easy to get a F500 company to up a Pension Substantially in the modern ERA UPS would've been able to bump their 1% FAE pension to match ours 16 years ago instead of sidestepping it by the creation of a FDA benefit component. A benefit that goes away if you're unlucky enough to wind up in a gap year\age and negotiations go on for too long at UPS. An FDA benefit that is retroactive within certain time limits for those who've already retired.