In the mid 90s the IRS's Financial Accounting Standards Board created new accounting rules for DB Pension Plans. These rule changes caused pension plans to become underfunded. With US Air struggling with the highest CASM in the industry and its network under assault by Southwest, other LCC's, and RJs the company stopped funding the DB Plan.
US Air CEO Seth Schofield saw the writing on the wall and he came to the MEC offering to freeze the DB Plan and create a DC Plan. This would have given the pilots an "A" and "B" Plan.
However, this information was never public to the rank-and-file during ALPA's tenure because via "roll call" vote the MEC kept this information close held with all of the discussions taking place in "closed session." The Reps involved were the first set of people labeled the RC4, which is an acronym for "roll call 4." If my memory serves me correctly the RC4 was PIT Captain Rep John Davis, PIT F/O Rep Frank Starnes, PHL Captain Rep Bill McKee, and PHL F/O Rep Frank Kelly (later on John Brookman and Mark King were elected as PIT Reps during this time frame).
In closed session against the advice of ALPA National R&I, against the advice of the MEC R&I Committee lead by Rick Moseley, Rich Altar, and Mark Minor, against the advice of the Officers, and against the advice of the majority of the MEC Reps, who urged the MEC to take Schofield's offer, by "roll call" vote the RC4/UELs said "no" keeping the underfunded DB Plan in place.
Why? The plan had a lump sum option that would have provided a pilot about a $1.5 million lump sum payment or an annuity upon retirement and the RC4 wanted to preserve this option even though they risked losing the whole enchilada if there was an economic downturn. Then 911 happened, the company filed for a formal reorganization, and the DB Plan was terminated. The Plan was underfunded by about $600 million and the ATSB and Creditors Committee were not going to provide the company an additional $600 million to save the plan as part of US Air's Plan of Reorganization (POR).
After USAPA was elected and ALPA confidentiality requirements no longer existed the truth came out with what the RC4 UELs did to the pilots in closed session without the rank-and-file knowing what really happened. It's sickening, but these four Reps were the beginning of the angry mob who took over the ALPA MEC and now run USAPA. And, I believe the same type of damage that was done to the retirement plan by the union's leaders is being done to the pilot group over the Nicolau Award, where a group of selfish people are taking actions to benefit a portion of the pilot group at the expense of others.