Old 06-13-2023, 11:58 PM
  #11  
Shaman
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Joined APC: Jun 2015
Position: Fetal in the hub
Posts: 414
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So 66k is the approximate max contribution. It's not 20% because there are prescribed IRS limitations on salaries if I am understanding this correctly.

Ok so this brings to mind two questions does it truly represent a greater value than the A plan and how does it compare to the industry standard higher value DC plans with cash over cap attributes?

I am uncertain on the former without doing a bit more math maybe some of our more keyed in colleagues can chime in here. Regarding the later here's what Deltas plan looks like according to their TA

2026 A330 Capt pay rate $474.20 Avg earnings $483,684 total DC contributions (18%) $87,063

That's what it costs Delta for that plan for that participant 87k. The the TA proposed mix is limited to 66k. A 25% difference and the latter is fully credited to an employee controlled account or as cash today.

So again help me understand why accepting lower rates and the additional concessions is worth it. This talk about numbers in the aggregate and costs to the company per head is obsfucation and they now it. It's why it's the lead story.

Has anyone seen any union emails explaining why our payrates are substatially less?

It's also worth noting that the reduced payrates coupled with 4a2c BLGs for an extended period of time and additional wet leasing could reduce the overall average of what they pay as all of this is a percentage of payrates that they've negotiated lower than everyone else.
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