For what its worth, my lump sum was $3083.22 and my total stock was $7687.10
of course this was before taxes and I "unfortunately" didn't touch the stock. So I cleared
maybe around $1800.
As far as the information out there, here is what I received from both sides. How is someone suppose
to find the REAL truth in it? And Luke, don't get personal. Can't you just disagree instead of blowing your top?
You are just falling into the stereotype of an overzealous Union person that turns many Delta F/A's off. I am sure you are better than that and can provide straight facts and let them speak for themselves without getting personal.
The following is why I keep saying that there are three sides. Somwhere in the middle is the truth.
For one, I received the
Delta/AFA Weekly Newsletter - Issue #25
I can't copy it, so if anyone can provide what she stated, would be appreaciated.
Then I received the following:
Rudy writes:
Recently I read my weekly AFA e-mail. This one was written by a Tracy Kali, a BOS based F/A. I enjoy reading literature dealing with “organizing†from both sides of the fence, Delta and the AFA. If I didn’t, who else would look out for my best interest?
Many of you may not have had the chance to read Tracy’s letter, so here’s a quick summary.
#1 - Tracy begins her letter with some dollar amounts that she quotes as “real live†figures from AFA represented F/As at five different AFA represented airlines from their W-2 forms. She shows the average hour amount flown a month, the dollar amount earned, and the number of years each flight attendant has. Tracy explicitly writes, “W-2’s don’t lie.â€
This F/A lacks much needed information when simply talking about a "W-2 form." Other factors can play into income as well; did all or some of the F/As on Tracy’s list fly in the Flight Leader position? Did all or just a portion of the F/As fly transoceanic, international, domestic, or a combination? Are some F/As counting time away from base and 401(k) contributions and company contributions as “income†while others aren’t? From a true “income†perspective, time away from base pay and 401(k) contributions are not counted on a W-2 form in Box 1 as income (unless you’re in a Roth 401(k). This can make a big difference, especially if you contribute 35% into the 401(k) like I do. My W-2 looks very meager and pitiful, but my Fidelity 401(k) statement shows the true accumulated wealth over 21 years of saving which has never been counted as “income†yet. Some F/As may put 2% in a 401(k) in 2007 while others max it out every year as I do.
Base pay and hourly pay account for most of a F/A’s income. At UAL they earn $37.82/hour and NW is at $39.76/hour at the top of the pay scale. Both of these airlines, however, don’t even see these max-amounts per hour until they finish 14 (UAL) and 15 (NW) years. Currently at DL we reach the $37 an hour mark in our 11th year of service and at the 12th year we max out at $41.06. Both UAL and NW F/As must work 2 to 3 years longer than we do to attain top pay and it’s still less per hour.
Tracy shows that a particular Delta F/A with 31 years averaged 85 hours per month and earned $42,000 in calendar year 2007. This could be true, depending how the W-2 is formulated. But if we simply multiply 1020 hours (number of hours for the year @ 85 hours a month) by $41.06 we come up with $41,881. I guess this F/A only earned hourly pay and nothing more, which is ridiculous.
#2 – Tracy writes “NW F/As negotiated 3-6% (depending on seniority and age) 401(k) contributions without any employee contribution. Delta contributes 2% with a match up to 5%. So, at my age and longevity at Delta I get 2%. At NW, I would be getting 5%.â€
What Tracy quotes is correct. But I think Tracy has it turned around, I’d say NW won the negotiation of the 3-6% contribution amount to the F/As. Let me explain. NW calculates the sum they contribute to each employee on a sliding scale basis. This calculation is figured by adding the number of years of service and your age together. If this figure is less than 40 – your contribution by NW into your 401(k) will be 3%. If the sum falls between 40-59 your contribution by NW is 4%. If the sum is between 60-79 your percentage is 5%, and any sum of age and years of service over 79 receives a 6% contribution.
You can feel free to calculate where you’d fall percentage wise. Delta’s contribution scale is simple and more to your advantage. Here’s why:
No matter how many years of service or what your age is, Delta contributes 2% and matches up to 5%. So even if I am a new hire my total potential is 7%. There are no waiting or playing scale games to maximize one’s full savings potential. Don’t forget, F/As at both Delta and NW have frozen pension plans, and all of us are finding ourselves in a sector of industry that has lost more money than it has made since the inception of commercial air travel in the late 1920s, so we must save for ourselves first. Lord knows we can’t count on Social Security or a full pension.
New hires certainly aren’t rolling in the dough, but even if a new hire starts contributing a mere 2% into their 401(k), he or she would be ahead of a NW F/A by a percentage point immediately. Saving is a good thing, and Delta gives us the incentive to save. Another aspect of money that can’t be discounted is the savings potential you have with Delta earning a higher contribution at an earlier age. These dollars, over the span of a career, can turn into hundreds of thousands dollars. NW did some good bargaining on this issue.
#3 – Tracy says, “NW F/As don’t have short term disability and there is a good reason, they don’t need it. They have a bank of up to 1200 hours. That’s more than a year of paid leave and it carries over from year to year. We may have short term disability but if given the choice, what would you negotiate?â€
What Tracy fails to mention is that to obtain that 1200-hour bank, you’d have to have 33 years of seniority without ever having called in sick a single time during those 33 years. NW F/As accrue 3 hours per month or 36 hours per year and have no separate sick time, so if you sick out on a 15 hour trip once per year, you’d be using up 15 out of those 36 hours so you’d be racking up 21 hours instead of 36 and at 33 years seniority, leaving you 693 hours, not 1200 hours. If you have ten years of seniority and had never called in sick, you’d have 360 flight hours in your bank.
Delta F/As get 42 hours per year of personal time that can be used for any reason and if you don’t use it, you can get a check at the end of year and get that money in an account with compounding interest. Delta F/As also get a Certified Time Bank with 100% pay protection after the first 7 days.
#4 - Tracy writes, “I think $43 a month is a sound investment for our future.â€
First we need to look at the past and present. The AFA hasn’t been able to save pension plans nor avoid pay cuts for their flock. As of today, for the most part, Delta is keeping me and has kept me above the cuff in more areas of compensation compared to other AFA represented F/As. I realize every one of us looks at investing differently. Tracy views paying dues every month to the AFA as an investment for her future. I don’t. The AFA cannot guarantee me more money in the major areas of compensation for which Delta is now paying me. The AFA can’t even keep UAL or NW above my threshold and those members are stuck doling out $43 a month for the service, while still earning less than I do. Pick how many years you have with DL – invest $43 a month into an account and see how much you’d have, and this account has your name on it, not the AFA’s*.
5 yr - $3,168
10 yr - $7,823
15 yr - $14,662
20 yr - $24,711
25 yr - $39,477
30 yr - $61,173
35 yr - $93,051
40 yr - $139,891
*The above figures are based on an investment with an average return of 8% with a yearly deposit of $500 compounding once a year. The stock market return over the past century, including dividends, has been between 11% to 12%.
Rudy Schober