UPS Cutting Guarantee?
 

With all the talk of furlough and possibility of reducing guarantee to help the company out has myself concerned that our union is going down the wrong path. Reducing guarantee is very expensive to the union and very cheap for the company giving them reason to bluff us into a pay cut. Below is an example of a way we can help our fellow brothers in case of a furlough and keep our guarantee.

The most junior pilots that will be furloughed would most likely be flight engineers making about $78,000 annually before taxes or about $58,500 annual take home. In the State of Indiana this pilot would receive $390 per week of unemployeement insurance benefits or $20,280 annually leaving a difference of lost revenue at $38,220 per pilot furloughed.

If UPS was to furlough 200 pilots at a lost wages of $38,220 annually this amount would be $7.644 Million dollars. We as a pilot group could make up the difference and it would only cost each crew member about $213.82 per month. This is a lot cheaper than cutting our hours by 5 hours of guarantee each month or even more like is in the FedEx contract.

Bottom Line, if the union is looking at cutting our guarantee they need to look again because this is really a cheap way for the company and an expensive way for the union.

$7.644 Million/ 13 pay periods = $588,000 per pay period
$588,000/ 2,750 remaining pilots= $213.82 per pilot a month[/SIZE][/SIZE]

The title of your thread is misleading.

That and it sound like you're saying the union should recommend a furlough. Did I read that right?

I’m saying that furloughing would be cheaper and better for the pilot group as a whole than to cut everyone’s wages. The pilots furloughed would still have about the same take home pay and the pilots flying would make more than if we were to cut guarantee. It would also give a peace of mind to everyone on the bottom that we would take care of them until we bring them back online.
If UPS cuts guarantee by 5 hours a FO would lose $630 and a Captain would lose over $1,150 a pay period. I would rather give the money to a furloughed pilot than back to the company.

IN other words, your and independent contractor. Screw the junior guys, put 'em on the street. You must be a real joy to fly with. Are you really trying to sell that you are worried about the furloughed pilot by giving money to them. Nice try.

What about B fund contributions, medical, dental, etc.... Looks like you are making it an easy decision for your company. Don't give the Purple MEC any ideas. If we ever furlough, I want the pain shared by all so the remedy/incentive is quicker. There are way to many stories out there about guys flying extra while people were on the street.

Why are we even discussing this? There will be no furlough; UPS may be slightly overmanned, but the cost of putting guys on the street and then retraining their replacements for a few months would be great. The Storm Troopers in ATL are trying to find ways to cut cost, not increase them.

Oh, BTW, UPS only made 9 hundred million last quarter.

[FONT='Calibri','sans-serif']Do you think for one minute that your company is keeping you on the payroll because they like you and know it would hurt your family if you got furlough? NOT. The only reason UPS and FedEx has not furlough pilots is because it is expensive. Pilots’ giving up guarantee cost them nothing and it is easier and cheaper for the companies.[/FONT]

What about the B fund that every pilot would lose if we cut our guarantee by 5 hours? If we need to cover health and dental I would be in favor of help covering the cost until they are able to get back online flying.