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Ok I'll bring it up just for you...can I quote YOUR name??
Don't kid yourselves, this board isn't that anonymous.
It's not really "earning". It's doing the time as an FO at SWA vs being acquired and integrated by SWA...poor choice of words...
Yeah, I wasn't sure about the individual tax part.You might be correct about the company having to amend prior years' financials; I don't know for sure. But you're incorrect about individuals--income is taxed the year it was paid, regardless of the year it was earned. That applies to all individual income. Retro would end up being a lump sum to us, presumidly paid and taxed to us in 2015. Or 2016, if it takes that long.
I get what retro pay is. The question becomes, why did the company drag it's feet and is there anything that pilots can do to maybe nudge the company in lifting it's feet and maybe walk at a brisker pace towards a contract. Maybe you and I differ on what that may be. At FedEx, the company typically drags it's feet until the general pilot population gets fed up enough to individually decide that they are fed up with the company's shenanigans and to maybe not pick up an extra trip or take the draft trip when offered. Then schedules start falling apart, freight gets left on ramps, and the company has a more difficult time getting pilots to pick up the phone.Retro should be paid for actual work in the name of basic fairness. It represents all pilots getting paid for their individual work efforts at the rates they should have been getting all along, in the years we didn't have a contract simply because the company dragged its feet.
I'm curious to see if the retro/bonus SWA pays you guys in this contract comes close to making each individual whole for the trips they flew at the rate they should have flown them. I'm guessing they're going to throw you guys a chunk of change all tell SWAPA "divvy it up as you see fit." I could be wrong, though. It's happened before.Why should I, a "regular line" worker (averaging 100-ish TFPs/month), or anyone else not working overtime "to spend more time with their families," get paid part of the salary earned by another pilot who worked harder than me/them? (maybe if they weren't working so hard, you wouldn't need a retro check) Also, why should a pilot who only averages 50 TFPs (say he/she has a rich spouse, and gives away a lot) get some of the money that -I- actually earned? (maybe to reward them for possibly moving talks along to get a TA quicker) Again, it's basic fairness.
Companies with CBAs that have gone beyond amenable dates pay retro when a contract is reached, as a disincentive to stalling, or slow-rolling negotiations; this way they pay all the money they would have if contractual raises had gone into effect on time. In all actuality, they should really pay calculated retro plus interest, as there's still a smaller incentive to stall, in the time-value of the workers' money they held for that period. Interest would make sure that neither the company benefitted, not the workers lost any money, for the delay. However, that never happens. Retro itself is generally thought of as making the workers "whole."
My other point was that the company can call it a "bonus" if they want (if it makes their financials easier, for instance), as long as they pay all the calculated money that each pilot earned while they stalled. That way, each pilot is made "whole," and the company has one less incentive to stall in future negotiations.
Bubba
I'm curious to see if the retro/bonus SWA pays you guys in this contract comes close to making each individual whole for the trips they flew at the rate they should have flown them. I'm guessing they're going to throw you guys a chunk of change all tell SWAPA "divvy it up as you see fit." I could be wrong, though. It's happened before.
Either way, I wish you guys good luck and hope your TA is better than ours.
The last contract paid retro pay exactly as it should be calculated: with each pilot receiving a check representing the difference between his pre-TA wage and what his wages should have been for each of those years, expressed for the exact hours he worked each year. In theory, made whole.
Bubba
To answer your other question about "stalling" negotiations, and pilots not working extra to "nudge" it along, I don't think it would work the same at Southwest as it does there. This company intentionally mans lean, based on a certain percentage of pilots wanting to work extra. Lots of guys hire on here specifically for that reason. In fact premium extra time is often literally fought over here, because you can make so much bank if you want to. The company expects to pay a certain percentage at premium rates; it's in their manning model. It generally works for us, company and pilots alike. I don't think the large percentage of high earners would intentionally try to work less to push the company in a negotiation. Besides, the company wouldn't "get it," even if they did. When they're out of volunteers for premium-pay extra fly (usually only in the summer), they JA or add-on (force) someone to do it, often for the same cost they were offering it for in the first place. If it came to the case where there were no volunteers, and nobody was even legal to force, they'd take it as a sign to hire more, like they're doing now. I can't see how it would make them want to hasten negotiations. They wouldn't tie the two things together.
I suspect that manning and scheduling are WAY different between here and FedEx. For one, I assume your scheduling is a lot more consistent throughout the year. Ours isn't. If we hire too many pilots, then people bitch about being overstaffed, and there's no extra flying to get (other than summer, that is). You know pilots--they're never happy!
Bubba
Given the above: How would you exert "leverage" or pressure on management to conclude negotiations in a timely fashion with an acceptable T/A?
As for FDX- We are entering our busiest time of the year extremely undermanned!
UAL...how long were you an FO at AAI? Did you take the first upgrade? Why wouldn't you do that at SWA? We have OSW FOs that are looking at over 12 years in the right seat to upgrade...the integration only lengthened that time...unlike you they will not enjoy a better future and airline career because of a purchase/integration...congrats to you and your family, judging by your forum name you've been furloughed...
Do you recall what the retro checks were for, percentage wise? Dollar wise? How many years were you in negotiations?
Our T/A has a 10% raise the first year so a "real" retro check should be 10% of the money earned during negotiations? For us that is 2.5 years.
2.5 x yearly salary x 10% = Retro?
For the average FDX widebody Capt. that would be $65,000+. Based on approx. 1,000CH/year. It could be over $100,000 for some...
What do you think the average would be for a SWA Capt? I would be totally blown away if you got that.
When can u upgrade?
Your calculations are actually too little for true retro. If you got a 10% raise the first year, then say, a 5% raise the second year, then you should get 10% of your first years' work, then 15.5% of your second year's work. That's more than your assumed 10% times your 2 year's work. With raises of that high of percentages, true retro will indeed add up to some serious change, especially for high earners. I wouldn't be surprised if your company tried to negotiate set bonuses instead of true retro.
I can't imagine our raises being 10% or even 5%, so retro for us wouldn't be as high as that, but I do remember last time, some captains getting retro checks of $50k or more.
Hope that helps!
Bubba