kronan

Yep, that's what we all focused on going into 2015. That FedEx can afford it. Q1 of 6 years ago FedEx's operating income was 987M.
FedEx can easily afford to up the Income replacement ratio for our Intl Capts, that's what my Union told me.
6 years ago FedEx made a direct dealing attempt. A hard freeze to the A plan for a 16.5% Cash over Cap B plan.
Not a shock to me since every private company has eliminated their Pension obligations if they could.
Just laughed at that offer though, because FedEx can easily afford to improve my Pension. My MEC Chairman and NC Chairman told me so.
Then, in the midst of highly profitable years, my NC said they just couldn't get the company to budge on improving my Pension. That it was a line in the sand.

After ratification, my Union sought the actuarial data from FedEx. And finally obtained it after signing a non-disclosure with the company. My Union went outside of ALPA for a hired gun to evaluate FedEx managements claim that improving our Pensions was excessively expensive due to changes in funding, administrative, and indirect costs due to the Pension Protection Act of 2006. And, both consulting groups, with a fiduciary duty to FedEx ALPA...confirmed those costs.

So, you can either believe that. Or rationalize that our hired guns just told our Union what we wanted to hear. You can believe people whose sole business is evaluating finances and pensions. Or you can believe what a Pilot posts on the internet, about how easy it would be for FedEx to improve our Pension. (Certainly doesn't address FedEx's willingness to do so)

The one thing that I know to be absolutely true, is every action FedEx has taken for the past 6 years shows me they want to be out of the Pension business altogether.
To the extent of paying MetLife 210 Million to transfer Pension obligations for 41,000 retirees.
To the extent of giving vested former employees a lump sum, to the extent of $1.3B to 18,300 takers.

So Yes, FedEx is profitable-and can support ponying up a Filet Mignon for all of us.
Equally true in 2015, they just don't want to sign that blank check. Not quite sure why their approach will be different, this time.

But,
I'm just fine working under our current CBA until they do. Might take awhile.
And, don't forget, regardless of what the TA is...we have to show FedEx who's the boss by rejecting it.

golfandfly

Hired guns? Cheiron and Blitzstein? Dumb and dumber?

I love that term, “line in the sand”. What if a small pay raise is a “line in the sand”? Why couldn’t we have our own line in the sand? We were way undermanned and going into peak. And we fold like a cheap suit.

They can afford to up our pension, but they don’t want to. It’s our job to help them want to. I get it, you don’t have the stomach to fight...

Oh, I mentioned the union mantra, the company wants out of “the pension business”. I see you parroted this once again. They also want in the PBS business, should we go along with that too?

DR K

Quote - "After ratification, my Union sought the actuarial data from FedEx. And finally obtained it after signing a non-disclosure with the company. My Union went outside of ALPA for a hired gun to evaluate FedEx managements claim that improving our Pensions was excessively expensive due to changes in funding, administrative, and indirect costs due to the Pension Protection Act of 2006. And, both consulting groups, with a fiduciary duty to FedEx ALPA...confirmed those costs.

So, you can either believe that. Or rationalize that our hired guns just told our Union what we wanted to hear. You can believe people whose sole business is evaluating finances and pensions. Or you can believe what a Pilot posts on the internet, about how easy it would be for FedEx to improve our Pension. (Certainly doesn't address FedEx's willingness to do so)"

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So how is it again that the company cannot afford a modest A plan increase to our 130k without prohibitive costs yet kiron can get our pension to $357K AND BEYOND with an acceptable amount of stress to the company? They must be actuarial and investing magicians and figured out how a VB/PSPP is not beholden to the "funding, administrative, and indirect costs due to the Pension Protection Act of 2006." It's either (A) a unicorn plan never used in the history of American business or (B) using astronomically high investment returns in its projected performance. FACT.

Hacker15e

Bring on the 2020/2021 red letter.

Shaman

Nothing better than negotiating with ourselves publicly.

So certain what the company WILL NOT do. Post after post after post after post. Why even negotiate? Just capitulate and it will all be ok??!! There is ZERO merit in this game.

Sluggo_63

Vacation...

golfandfly

Keeping what we already have in a great negotiating environment isn’t what I’d call great bargaining...

Noworkallplay

No such thing as a “great negotiating environment”. The company will always find a reason to not pay labor or “share the wealth”. Although FedEx is doing well, the company will point to the concessions currently going on at other major properties. Its up to the collective group to demand it and hold the line for it. They will not give a penny more than they have to to get a yes vote unless we apply pressure.

golfandfly

For once I agree with you. We need to help the company decide to share the wealth. We all know what to do.. hopefully, business will still be strong next year...

Sluggo_63

You asked for a line in the sand that we have. Vacation. Good bargaining environment, bad bargaining environment. Doesn't matter. For all the contracts I've been here for, the vacation section has come through unscathed. I think the company knows that that section in our "line in the sand" and would almost unanimously vote down any TA that had and significant changes to the vacation system here.