Originally Posted by
But seriously
Number 2 seems like it could be a negotiated option, but 1 & 3 seem like a pretty hard sell to get from the company.
The CBP has to stay in the black or else the company is on the hook, so I’m sure they see it as significant risk to invest it in anything but the most conservative vehicles.
As for the PRAP limit, the company thinks they are just complying with an IRS rule. I don’t read it the same as they do, but my tax expertise accrues from handing some docs to my CPA once a year and occasionally staying at a Holiday Inn Express. I have to accept that UAL might have some lawyers who understand this better than I do. I don’t really see what incentive they’d have to invent this problem.
Meanwhile all we have to do it point to DAL's IRS approved plan that does not restrict company contributions. I'm not buying the excuse. I do think the company wants to limit their exposure for potentially having to plus up if the plan loses money. I think the company probably said if you want this before it's approved you have to give up our exposure. So ALPA blinked.