Ok, thought I’d resurrect this thread from the dead (page two).:). This question is directed at those predicting a smaller PS percentage than last year.

I just read a post on CC by one of our Reps that said the amount put aside in the PS pool thru 3 quarters is $175 million more than it was last year. If this is the case and with quarter four looking really good because of lower fuel costs, why should we not have a PS percentage at least similar to last year if not more?

Denny

I think it'll be similar to last year, but it's difficult to gauge it from the amount put aside because some of that is for non-pilot employees and their total payout is bigger this year than last year.

What determines the percentage? Is it a set percentage based on profits?

The other employees who are 60% of the pool are getting a substantial raise in PS. The company has to set more aside to cover that increase.

It’s a dollar amount based on pre tax profits. The first 2.5 billion in profits we get 10%. After 2.5 billion we get 20%. The percentage is determined after the dollar amount is known. As we hire more pilots and wages have risen the percentage has dropped but the amount has been pretty consistent the last 5 years. This year will be the lowest percentage in 4 years or so.

This^^^^

Profit Sharing / Pilot Payroll = PS %

The denominator continues to climb, exceeding the rate of growth of the numerator.

Even though the amount of profit sharing is going up, wage growth has been tremendous.

I’m a little embarrassed to see so many pilots so bad at math. 😝🤑

Just don't make us spell words without spell check!!

The only reason the math is so difficult is because they have never made the formula for individual percentage public. The pool is easy but then it’s divide by total payroll for non MIP employees. Solving for y is easy given the numerical value of the other variables. Without it, it’s reading tea leaves. My number stands pat at 13.4%. Locking it in now.

Riddle me this. Our PS didn’t change when theirs was reduced. How can ours be changed when theirs is increased? I understand that they will make more money but isn’t that taken into consideration as a business expense prior to money being put into the PS pool?

And it looks like they have.......at least according to a rep. I don’t know the actual numbers put aside between this year and last year thru the 3 quarters.

Denny