After reading various posts, absolutely boggles the mind.

Respond to a comment that someone should choose AA because FedEx ALPA is giving away the pension, only to be told I'm "selling" the VB.

heck of a salesman aren't I, well, VB plans is inferior to a Traditional A plan with similar constraints....so, sign here to vote for the VB plan.

You're numbers are complete BS.

Welll, No, here's a snapshot of the Minimum Pension a 30'sh year old would wind up with starting about 2 years from now.

Here's what it would be if the Pension assets return 5.5% over 30 years, here's what it would be if the Pension assets return the 6.5% FedEx expects to achieve, and has reported same to Federal Govt and Investors world wide.

You're numbers are BS bonds would have to generate a 5% yield to pay that.
Well, No. Neither our current Pension Funds nor any hypothetical VB Pension Funds would make any required distributions out of the Bond portion of the Funds. Our Pension funds have various assets to mitigate any of the swings as normally, Bonds and Stocks are inversely correlated.

FedEx ALPA is going to siphon off Pension funds to start the VB. No idea where that one's coming from. But the Feds pay pretty close attention to Pension Assets these days. FedEx (who is the current Plan sponsor and would be the Plan Sponsor for the VB Plan) doesn't get to just move $$ around to make better use of it. Once the $$ goes into the Pension Books, well, it stays there until it is distributed to those of us who've earned a pension.

Used to be a lot more trust and a whole lot less oversight, but those days are long gone.

 

After reading your posts, absolutely boggles the mind....
Have you asked Alpa about this being retro active?

Funny, why would they not advertise the plan to make the VB Retro? And how they plan to do that?

BTW, I did ask Alpa.

 

Give it a Kroman.

 

One of my biggest concern is what happens if a guy goes on LTD. how does the VB Plan address that?

 

They probably can’t get to 50% + 1 without the over 25 guys. 35k of our money will buy them a lot of votes.

 

Or, does it address the subtle seniority hit we will all take by more guys working until they are 65 (or 67, or until they can’t pass their class 1)?

 

That too, they seems to be leaving out all the negative aspects of this POS

 

That is the BIG concern.
All PM has said is it would be covered just as it is for our Traditional.

But what does that mean.

Would it be the rolling 12 month clock the way Disability pay is calculated?
Previous Years earnings?
AVE BLG * Seat Rate.


And the ONLY people who make Pensions Retroactive are the Govt.

Sorry to burst the bubble for all those within 10's years of retirement, but a big increase in the High 5 Calc just won't be a lookback calculation. My expectation is it would be phased in over the 5 years following CBA 202X Ratification.

If the VB comes to pass, won't be one pot of money to draw both Pension payments from...but two.

 

Disclaimer - I’m still in the midst of multiple days of trudging through hours of videos and reading to try and understand this as a new guy.


One thing that I can’t get past is the high 5/FAE thing and getting rid of the only known quantity.

I don’t think I’m alone in that probably the biggest reasons I chose FedEx is the flexibility and the pension. I’m happy for DAL and the profit sharing, but it isn’t a pension. Pay is neat, but also not at the top any longer. I know - completely different discussion.

If we lose the FAE and go to a career average, aren’t there layers of second and third order negative effects? Let alone giving up a guaranteed pension that I can count on.

It’s a game changer that wouldn’t be worth double the hourly rate in my opinion.

What am I missing?

 

The Union will tell us what they think they negotiated and that any vague language is in our favor. As soon as the ink dries, the company will show us what we really signed up for and will squeeze every last drop of blood they can out of that rock solid VB plan.