AA: Furloughs? A plan? Retirements?

[stlflyguy]

The last week or so has revealed that AA may furlough in the near future.

Also revealed was that the A-Plan will be less than 80% funded, prohibiting lump sum distributions to retirees. It'd take more money than the company wants to spend (+$1 bil?) to keep the level above 80%.

I'm still out on furlough, though thankful that I wasn't caught in the middle between two jobs.

Any information from those "on the property?"

Thanks.

stlflyguy

 

[magrs]

I think all the hubbub isd half posturing (contract nego) and half truth. Let them cut the damn A-plan, we certainly don't need the extra weight. Go the way of the TWA DAP program, let us ALL make money and move on. If you are relying on a pension in the airline industry, you have some serious issues to deal with. Give me my 401K and leave me alone!

I don't think they'll furlough, as the June 4th class has yet to be cancelled and those boys and girls will receive at least 5 months severance come furlough. Not the best utilization of resources in my book. If AMR scrubs this up, I'll take my ten years and walk for good!

 

[Draginass]

I think Magrs' info is WAY off.

There will certainly be furloughs. It's almost a given that the next class will be canx'd and then some more furloughs after that. The execs are earning their big bonuses by making these "hard" decisions. This serves several purposes, including calling APA's bluff.

As far as retirements go, I can't wait until Arpey even hints at Chapter 11, just to watch hundreds, if not a thousand Captains drop retirement papers like "right-now." For that reason, I expect the words from management to be conciliatory until the BK bomb is dropped one Sunday morning. If you get snookered like this, you're stupid.

Contracturally, unless Arpey takes the company to BK, there's little he can do about the pension and almost NO ONE would allow the A and B funds to be stolen.

If you're a current AA furloughee, don't quit your job and don't wait around for a recall to AA. It's not remotely the same company you left years ago.

 

[GIII Instructor]

Not sure where the 5 month severence check comes from... 5 years = 2 mos furlough pay... from the school house, furloughs are a "distinct possibility" in fact, the last and final recall class: in June, the guys are actually being given a choice on whether to change their mind... time will tell.

 

[magrs]

So, why run the class if you are going to furlough guys with 12 years?

5 1/2 mos full-pay I think?

Unless they cancle tonight, they will NOT be cancelling a class which starts in three days.

Draginass, get your facts correct. June 4th class is still on, and to bring those guys on to furlough in two months makes zero sense. Too many training events followed by furlough pay. If the class is not cancelled in the next 48 hours, there will be NO furloughs!

 

[737 Pylt]

Just wondering what the payout for a guy with 25-30+ years is?
I know a guy that just retired at age 60 and said he got $2 million. Does this sound accurate for a 25-30 year guy?

737

 

[aa73]

Just wondering what the payout for a guy with 25-30+ years is?
I know a guy that just retired at age 60 and said he got $2 million. Does this sound accurate for a 25-30 year guy?

737

That's about right.

73

 

[Andy]

The lump sum's no longer available to retirees? Wow. I hadn't seen that.

 

[737 Pylt]

That's about right.

73

Thanks aa. Not bad, I had origionally thought it might be high! I guess it still remains the same tha the senior guys make out like bandits leaving the junior guys with nothing!

737

 

[AC560]

I guess it still remains the same tha the senior guys make out like bandits leaving the junior guys with nothing!

When the entire premise of your compensation is based upon seniority how would you expect it to work?