Originally Posted by FoxHunter
(Post 2586713)
Prior to buying Tigers the FedEx Pension Plan paid 1.5% per year of service and it had a COLA. The percentage was changed to 2% and the COLA was removed. There was no cap on pension earnings until the first contract in 1998. The $260,000 set in 98 has never been adjusted. Jan. 1, 1998 $260,000 equals $169,510.26 on Jan 1, 2018
https://www.bls.gov/data/inflation_calculator.htm What was the B fund percentage under Flying Tigers? What was the B fund in the first contract in 1998? |
Originally Posted by DLax85
(Post 2586996)
What was the B fund in the first contract in 1998?
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Originally Posted by Adlerdriver
(Post 2587012)
-8%. So, really we’re doing much better it might appear at first glance. :D
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But we also gave up profit sharing in the first contract
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A better evaluation of the decline in value is what is the worth of 260k 98$$ today,
and an Inflation Calculator would put that at 397.4k. Or consider IRS Pension Limitations. Our Pension payout is 130k, and at one time there were Qualified\Non-Qualified Components. Most Recent IRS Qualified Pension Payout was 220k (or the equivalent of 440k FAE) https://www.irs.gov/newsroom/irs-ann...18500-for-2018 |
Originally Posted by DLax85
(Post 2586996)
Thanks for the data. It’s always good to know our history
What was the B fund percentage under Flying Tigers? What was the B fund in the first contract in 1998? |
Originally Posted by kronan
(Post 2587333)
A better evaluation of the decline in value is what is the worth of 260k 98$$ today,
and an Inflation Calculator would put that at 397.4k. Or consider IRS Pension Limitations. Our Pension payout is 130k, and at one time there were Qualified\Non-Qualified Components. Most Recent IRS Qualified Pension Payout was 220k (or the equivalent of 440k FAE) https://www.irs.gov/newsroom/irs-ann...18500-for-2018 |
FedEx pilots are fools if they negotiate away their defined pension.
In exchange for accepting the VA plan, they'll ask for something the company took back in the last contract (like lay flat seat provision) and market it as a complete win. Or they'll just low ball the VA plan and present the worst case scenario first ... it's the FDX ALPA way. As I see it, to even consider the VA plan, I would need to see industry leading language and increases in all sections of the contract; compensation, B-fund, profit sharing, vacation, jumpseat, reserve, etc.etc. Pension risk has value and that value is worth more than the POTENTIAL to earn more in retirement. FedEx owns the bill associated with that risk. We shouldn't assume that risk unless it is overwhelmingly in our favor to do so which means the company is never going to accept my offer. But they'll accept ALPA's low ball offer and we will forever be known in the industry as the suckers we are. |
Originally Posted by PurpleToolBox
(Post 2587867)
FedEx pilots are fools if they negotiate away their defined pension.
In exchange for accepting the VA plan, they'll ask for something the company took back in the last contract (like lay flat seat provision) and market it as a complete win. Or they'll just low ball the VA plan and present the worst case scenario first ... it's the FDX ALPA way. As I see it, to even consider the VA plan, I would need to see industry leading language and increases in all sections of the contract; compensation, B-fund, profit sharing, vacation, jumpseat, reserve, etc.etc. Pension risk has value and that value is worth more than the POTENTIAL to earn more in retirement. FedEx owns the bill associated with that risk. We shouldn't assume that risk unless it is overwhelmingly in our favor to do so which means the company is never going to accept my offer. But they'll accept ALPA's low ball offer and we will forever be known in the industry as the suckers we are. |
VA plan IS a Pension, it's just Defined Differently.
But it is Still a Defined Benefit Plan For Something that a few on the Internet define as a GiveAway to The Company...Company sure doesn't seem to be in any hurry to Accept this So Called Gift to the Man |
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