TonyC

6% now, 10% later, with a "RESET" (read "unlimited increase") year in between. Enjoy.






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FDXLAG

The difference between us is I know FDX is smart enough to factor in all of their labor costs when they agree to a contract. We were going to pay it one way or the other.

AC560

I wouldn't call the 2% (which is where a FX M1F Captain falls) exactly the "ordinary working Joe". In any case the so called "Cadillac Tax" is the third largest contributor to the ACA (CBO Report). If it doesn't come from this excise tax, it needs to come from somewhere.

Does FedEx or Union give you guys a total comp report at year end?

TonyC

The only way we were going to pay more than 6% was to vote for it.






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Fedex999999

Of course we going to pay for it. Our CFO was on the news while we were voting on the TA, stating our pay raise was offset by efficiencies. We didn't get "more."

Busboy

With logic like this...What is the point of collective bargaining?

FDXLAG

Split up the pie and to get our share. Do you not think the company has a going in position on what they will spend? Now the pie could get bigger if say the company has a base in CGN they want to open, or pilots flew only their schedule, or we had better scope language, or UPS had crossed the finish line 1st. It seems that Atlanta has decided no more than X and the pilots want Y. Hence the stalemate. But my point remains, like the employer part of Social Security, or Medicare, or the A plan and PBGC tax, or no PBS, or sick leave, or vacation, or maternity leave, or number of reserve pilots, and even mil leave are all part of the FDX pilot labor pie and any increases to one part of the pie, like a new Cadillac tax, will eventually come out of our pockets in the form of decreased wages or increased productivity.

Even if Tony is right and the labor pie is expandable to X times 1000, increased costs in one part of the pie will result in other parts of the pie shrinking proportionately.

AC560

That is correct and makes it so important as to how you assign value to the differing slices of the pie and whether all the parties understand that it isn't wages but total compensation that is negotiated. There is a lot more movement in both union and non-union labor to negotiate on total comp versus purely wages these days because there are so many more slices and expenses then thirty years ago.

Insurance is a great example of this where many put a lot of emphasis in protecting cadiliac plans and that pie slice is growing larger every year at exponential rates. The question becomes from a purely financial point of view what is better a catastrophic plan or a cadiliac plan. The answer to that is really tricky for both the employee or the employer which is really making it hard to determine the size and value of the slice.

Overnitefr8

I agree, there is a limited amount that the company is going to offer us and we have to decide how to split the pie. The problem is the company doesn't offer the whole pie initially. They offer us a slice first and we think it's the whole pie.

DLax85

The Govt decides to add a $1 tax to every package Fedex handles. Fedex must collect & disperse the money to the govt

Who pays for that $1?

The consumer?

Fedex Management?

Fedex Labor?