Originally Posted by
Bill80
The anti cutback rule I quoted literally says you can’t have your accrued benefits reduced by an amendment to a plan. It doesn't matter if the union agreed to it or not, it’s an amendment. We’re talking about benefits protected by federal law. The union could only agree to reduce the accrual of FUTURE benefits. Which even then, that is unlikely, because it’s not fair to reduce one groups benefits for another.
At this point I don’t think you’re legitimately asking. You’re just being obtuse and demanding a reference from me, which I provided, that is not good enough for you.
Why don’t you reach out to an ERISA attorney, and ask your question? I suspect you’d refuse to believe them anyway because it conflicts with your view of reality.
We spent most of our negotiating capital in TA1 raising the pension. And you now think in the follow on contract we’re going to negotiate that away, as if that’s allowed by law?
If you wanted a pension increase, you got it. Take the win, man. It doesn’t happen without splitting the retirement. And your benefits are protected. Talk to an attorney before you spread fear, uncertainty, and doubt about retirement plans.
[size=0pt]Seriously READ YOUR OWN POSTED LINKS. Here "Section 411(d)(6) generally provides that the
accrued benefit of a participant may not be decreased by an amendment to the plan." This is what we are discussing or questioning. Benefits that have NOT YET BEEN ACCRUED. Let's try a different very specific example. If TA1 had passed as advertised and all pilots with less than 5 choose the CBP. You had 5 years and 1 day and you chose to stay in the A plan. In 10 years, all the pilots with less than 15 YOS (greater than 50% of the voters) want to change the years of service credit to .5% per year, is that allowed? You will still have your 15 years and 1 day of credit at 2% per year, but your ongoing forward benefit (NOT YET ACCRUED) has been decreased by amendment. Amendments to the plan are allowed you just cannot lose accrued benefits. Can the employees voluntarily reduce their own retirement by amendment? It looks to me like they can, and that's the rub.
https://www.law.cornell.edu/cfr/text/26/1.411(d)-4
"(a)Reduction or elimination of section 411(d)(6) protected benefits—(1) In general. A plan is not permitted to be amended to eliminate or reduce a section 411(d)(6) protected benefit that has already accrued, except as provided in § 1.411(d)–3 or this section. This is generally the case even if such elimination or reduction is contingent upon the employee's consent. However, a plan may be amended to eliminate or reduce section 411(d)(6) protected benefits with respect to benefits not yet accrued as of the later of the amendment's adoption date or effective date without violating section 411(d)(6).[/size]