Everything you wrote is a prime example of how little you understand the BK process and law. What AA did is not new and perfectly legal. Did you not understand this when you labeled the discussions of BK as nothing more than a scare tactic. It was no scare tactic. BK is very real and you can argue and point out how unfair it is to workers but that's the world we all live in and yes it sucks.
Dont we pay Unions dues for unions to fight against unfair laws that put us at a disadvantage? What has the TWU done to combat this law other than roll over and make sure that AA gets everything they want?
While we did take more than a 17.5% cut in total value to our paychecks we did gain something pretty big. Our pension plans have continued to be funded from 2003 through 2012. Nine years of continued pension credit is a good thing.
But at what cost?
Before you make such statements you have to remember that for most of us our Final Average salary is not in the six figure range like International employees, its around $68000.
9years x $68,000x.01667=$10,202.04 a year at 65 years of age (the age we will have to work now that retiree medical is gone.
Given that Aircraft Mechanics work with toxic chemicals they have higher rates of cancer thus lower life expectancies than most other people in the US so we can maybe expect that to be worth a total of 10 years collecting a pension, so its worth $102,020.40. So we got a total of $102k added to our pensions.
Every legacy carrier that lost their DB got something in place of that. UAL got $40k plus the 5.5% match. The company figures that 12% of all ours worked are at OT rates, so they figure we work 250 hours of OT a year, since the match is based on gross our Final Average salary for the 401k would be roughly $75k x 5.5%=$4125
So less the 401 K match the Pension is worth $6077 year
$4125 x 9 years=$37125(without interest), But of course there would be some interest over a 20 year period, lets be real conservative and say we got enough interest to bring that up to $52,000 by the time we are 65 (not counting subsequent contributions outside the 9 year window.
So now the added years to the pension are only worth $50,000, but we gave up 80 hours a year of Holiday pay as well’
80 x $33 =$2640x 9 years =$23760 But in reality we are still losing those holidays that others kept through BK till 2018 so we need to add that as well, that’s another $15840 so the lost Holidays will cost us $39,600
So now the added 9 years to the pension is only worth $10,400
We get a week’s less vacation that has already cost us $13,320, and by 2018 it will be up to around $19,920 (based on $33/hr)
So without counting all the other concessions, slashed wages, double time, straight time for training, sick time etc we already more than paid for the extra 9 years by giving concessions that our peers never gave, even through BK (concessions we continue to give as well). If the average worker has to put in 20 years of concessions before he retires the extra $6k a year he will net before taxes at 65 (offset by the 401K contribution) will have cost him around $80,000 just in Holidays and Vacation. In excess of $200k all in.
We would be at number two in pay from May 2010 until AA filed BK.
“Number two in pay”, more spin. Don’t you mean number two in hourly pay rates if we selectively include and exclude premiums?? Holidays, vacation, sick time, Health Benefits etc are all part of pay and we were at the bottom in all those categories. Plus the number two status would have only applied to those line mechanics who started between 9 pm and 4 am. In other words the company could have simply altered the start times (to 2059)and nobody would have been receiving the number two rate you speak of. You claim adds in ALL POSSIBLE premiums under the AA deal but does not do the same with the other agreements. In other words, it’s a lie. Our hourly base chart rate still would have been bottom of the industry.
Just as most guys at UAL do not get the $2/hr COLA most mechanics at AA would not have recieved the $1.50 MRT or the $2.55 Line premium. The company still could have 24 hour coverage without any mechanic at AA being in your words "#2".
You recommended a no vote brother along with your cast of clowns on the negotiating committee. Bad move in retrospect now. The MCT's kept their pay raise they voted in back in 2010. Now you whine about how we are behind. That's partly your fault for underestimating the company's resolve and willingness to file BK. Oops Bob, big miscalculation because Brundage apparently outwitted you.
Well I really wasnt fighting Brundage, because I had to get past Videtich first. Its a tough fight when the people who are supposed to be on your side are collecting perks and fighting for the other side, but at least now everybody knows.
My position on BK is that whatever we did did not matter, there wasnt enough savings available in M&R to warrant going through BK. Don was saying that we could push them in. BK revolved around one contract-the Pilots.
Everything you cite in what we gave up would have been returned mostly by the May 2010 TA but you were going to keep fighting you tough guy fighter you. You showed AA didn't you?
Well as I just pointed out the fight was never brought to the company so we will never know, we had to fight Don and the International, it’s a shame that we have to fight the people we pay to represent us, that fight continues, but it may soon be over. Then maybe we can start fighting the company.