View Single Post
Old 10-20-2010 | 10:28 AM
  #54  
scambo1's Avatar
scambo1
The Brown Dot +1
 
Joined: Jun 2009
Posts: 7,775
Likes: 0
From: 777B
Default

Originally Posted by Sink r8
Actually, there is another angle to this, which ties into Scambo's argument. While I don't think he's understanding our own "me-too" caluse, the fact of the matter remains that others have "me-too" clauses as well, contractual or not: everytime we get something, everyone else gets a free ride, with the attendant costs.

Now, this is not our problem, in the sense that we can't fall for the company's argument that they couldn't afford to give us X because they "have" to give it to everyone else. However, I recently had a Captain explain how it would be useless to go for a high % "headline" number on the raise, because most "me-too's" are geared to % raises. He argues there are a lot of other ways to make more money, i.e. within our workrules, which could work with a fairly low total payraise, i.e. trips touching, training pay, night rates, international rates, DC contributions, reserve pay, trip rigs, etc. That's not a bad argument. It also addresses another point, which is that we're always totally engrossed with the payrate increase, and miss everything else. Like scope.

It might make for great press that we're not asking for huge payrate increases, or pay restoration, but asking merely for contract "repair" or something like that. And it would be very difficult for the other groups (which still have retirements) to get a "me-too" if our DC contributions (tax-deferred, mind you) were to jump, say, 10%.

If my W-2 goes up a lot, and my DC plan contributions go up a lot, and my life is better, I don't really care if the Street thinks I "only" got a small % increase.
------------

Sink;

Thank you for taking the ball and running with it. Subtly, this is where I wanted the discussion to head in the first place. There is darn little reason to make more money than what triggers the Alternative Minimum Tax. I'd rather have the 415c limit in my 401k, more int'l pay, night pay, perdiem, etc. etc. W-2s are overrated after a certain point, but tax exempt income is where its at. Tax exempt income on the companies side MAY also be cheaper for them to pay, being in a different debit column than payroll. pretax vs after tax expenses.
Reply