What should A-plan sunset be worth?
#51
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I think age/current time with company has a major point of view difference on this topic. The point that’s trying to be made is that if we split retirement between 2 groups, one can be pitted against the other for all future negotiations. I agree an “accrued” retirement cannot be changed. But future rules for that accruement can be.
Example: Pilot A has 6 years on property (planning on retiring with 25 years on property) and is vested at the current 130k A plan. Say TA 1 passed and he took the 169k A plan increase. Life is good for 5 years. He is now vested at 169k….for those 5 years. TA2028 now has most guys on the new and “improved” pancake plan. They decide to vote for an increase to take their retirement from 11%MBCBP to 15%. To achieve that, all they need to do is agree to change the A plan down to 100k. 50% +1 vote for it because they’re doing “what’s best for them and their family” (only idiots say that when they’re part of a union btw). . So pilot A is looking at 6 years@130k, plus 5@169 then 14@100k (as long as it’s not negotiated lower). I think we can all agree the A plan would have never been negotiated higher after the 169k proposal.
The first 11 years are accrued and protected under contract. We agree on that. What about the next 14 years? Nothing I’ve read says it’s protected if the union votes to change it.
Example: Pilot A has 6 years on property (planning on retiring with 25 years on property) and is vested at the current 130k A plan. Say TA 1 passed and he took the 169k A plan increase. Life is good for 5 years. He is now vested at 169k….for those 5 years. TA2028 now has most guys on the new and “improved” pancake plan. They decide to vote for an increase to take their retirement from 11%MBCBP to 15%. To achieve that, all they need to do is agree to change the A plan down to 100k. 50% +1 vote for it because they’re doing “what’s best for them and their family” (only idiots say that when they’re part of a union btw). . So pilot A is looking at 6 years@130k, plus 5@169 then 14@100k (as long as it’s not negotiated lower). I think we can all agree the A plan would have never been negotiated higher after the 169k proposal.
The first 11 years are accrued and protected under contract. We agree on that. What about the next 14 years? Nothing I’ve read says it’s protected if the union votes to change it.
This problem isn’t going away by keeping retirement together. We had a chance to get new hires after 2015 a big B plan with CoC and chose not too. That was a mistake. There are more lucrative alternatives to the pension that put money into your account. Not a giant IOU from a company that’s insured for pennies and loses value to inflation.
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DLax85
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01-18-2017 07:53 PM



