I'm a military pilot whose never really looked closely into the civilian market. I've learned a lot just by reading this forum but have a few questions.

Just what the heck is the B fund I read so much about? I've figured out it's retirement, and there was once an A fund (?) but no clue beyond that.

Recency of experience-how's it defined? It is entirely possible the AF will decide to reward years of service with a nonflying job just prior to my retirement. I have enough transoceanic heavy multi-engine time that if I don't get hired it won't be for lack of hours. If I flew as a CFI in a 172 or something similar for my last 2 years would I still have a chance of being hired by anyone?

ALPA-I realize this is enough to fill a website in and of itself, but what does ALPA do for me? I can see everyone is ****ed one way or another about age 65 and I understand both perspectiives, but what does the union really do for me outside that one particular issue? What does membership cost?

Why does pay suck b*lls so bad the first few years everywhere? I can live with it, I've just never figured out the rationale.

 

And what does "MEC" mean? I think in some limited situation it refers to mechanics but clearly that's not the only meaning.

Thanks for whatever info you can share.

 

Sputnik,

You will find most of the answers if you search this forum but here are some $.50 answers.

A Fund very similar to military retirement that some companies still have. B Fund very similar to 401K where contributions are based on a percentage of months pay (FDX 6%). Originally meant to supplement A Fund since we were forced to retire at 60.

Can't answer hiring question other than if you know someone at FDX yes tou could get hired.

ALPA costs 1.95 % and protects your job so yes worth it.

Min pay 1st year because you are not really union member yet.

 

Sputnik,
"A fund"=defined benefit pension. It's all employer funded, you pay nothing for it. At some airlines it has a formula (or used to) as such: 60% * FAE (final average earnings). Usually 25 years of service (YOS) are required to get a "full" 60%. So if you had 19 years with an airline and retired with a FAE of $100,000 you're benefit would be: 19/25 * .6 * 100,000=$45,600/yr. At other airlines (and companies) they use a formula like this: $3000 * YOS. With this formula your 19 years would be: 19*3000=$57,000/yr. The benefit is paid till you die. Some have a survivor benefit. Go to IRS.gov for more information on defined benefit pensions.

"B fund"=defined contribution pension. It's money the company puts into your 401K each paycheck based on some percent of your pay. Say 5%-12%. This isn't a match, it's additional money the company puts in, on top of, any money you might put in. Go to IRS.gov for more info on defined contribution pensions.

RE: your recency of experience. I don't do hiring for any airlines and I come from a civilian background, however, I'd say it wouldn't be that big of a negative, if at all.

RE: ALPA (or any union). You get what you pay for. Being part of union means more than just paying dues. You must get involved. If you only fly your trips and go home then you can't complain when the **** hits the fan. My advice is to get involved in committees and run for elected office if you want to get the most out of it. You are the union.

RE: First year pay. "cuz that's the way it's always been". No seriously, I have no good answer. It's bs. Maybe it's cuz "we spend so much money the first year training you", or collusion between airline managements to make leaving one airline for another less attractive to thier pilots, maybe it's because "your on probation and we can fire you for anything we want, therefore you're a POS". Take your pick.

Regards,
31wins

 

Recency of experience is important. I’ve run into a couple of people who had trouble with this. One interviewed at SWA was told, “we like you, call us when you have some recent time. Perhaps go to a regional for a year.”

 

MEC IRT ALPA stands for Master Executive Council.

 

To expand on that, the MEC is the leadership body of elected representatives (Chair, Vice Chair, Tres, Sec, and CA/FO status reps) for each airline.

 

So A or B just refers to the type of retirement an airline may or may not offer? There isn't some massive A fund out there in other words?

Thanks for the info guys

 

No. The A plan funds reside within the individual airline. It's not "industry wide". And a lot of airlines have lost or are losing their A plans. It's a prime target for airline management during contract negotiations and bankruptcy proceedings.

 

Low pay first year is also because so many guys historically have hopped airline to airline they want to amortize training costs. They feel like they already "paid" you in a sense by training you.

Might not make much sense at FDX or SWA, but both have higher first year pay too. On the other hand--look at first year pay at Airtran, UPS, or CAL. Historically--all have lost guys to other carriers. Maybe its the tail wagging the dog--but airlines with lower first year turnover generally have higher first year pay, while airlines with higher turnover offer much lower pay. They want to make sure they get the training costs "back" before they train you for another airline.