Airline Pilot Central Forums - 2023 Profit sharing ?

Quote:

Originally Posted by GoCats67 (Post 3757435)

Ok, that is the problem then.

Right now there are 3 (at least) different formulas for profit sharing depending on which employee group you are in. Each groups portion is calculated based on their formula, but is only applicable to that portion they represent of the total eligible employee pool of earnings. So that is why this is so difficult to determine what we will get.

The $427M you have is based on the $3.387B and just using the pilot formula for every employee. However not everybody is covered by that formula
Pilots get 10% up to 2.5B and 20% of everything beyond 2.5B
FAs get 10% up to last years profit and 20% of everything beyond. This was 1.34B last year
all other (as far as i know) get 10% up to 6.9% Profit Margin and 20% of everything beyond. This would be $3.415B

Additionally, the $3.387B is almost certainly not the number for profit sharing. There are many things that are taken out before that number is generated that are actually included in the profit number for our calculations.

Fortunately, the earnings numbers do show the total pool available for all employees this year. That number is $681M

Everybody gets the same percentage before $1.34B and beyond $3.415, but in between we are all different. In order to fully reverse engineer this back to each groups number you would need to know what percent of the total company wide compensation each group represents.

Lets pretend that FA's represent 20% of eligible earnings and pilots represent 35%.

profit sharing below $1.34B = 134 Million
between $1.34B and $2.5B = 116 Million + 23.2 Million extra for the FAs (since they are at 20%)
Between $2.5B and 3.415B = 91.5 Million + 18.1 Million extra for the FAs and 32 Million extra for the pilots.
That brings us to 414.8 which leaves us with 266.2 remaining above the old threshold of 6.9% .

That would then calculate to a total profit for profit sharing purposes of around $4.75B

Then you take into account that we have many more employees eligible for profit sharing and their earnings are higher. In the earnings release it shows a 28-29% increase in total salaries across the company. If we assume this increase is proportional in the total eligible pool (hopefully less) then my further reverse engineering says that would then translate into:

5.9% for other employees
6.8% for pilots
7.9% for FAs

That is based on a metric crapton of assumptions and I hope it will be a little higher, but for the next 24 hours I am sticking with it!

Jesus man…just wait for the ALPA email?