AA Non-Rev Payroll Deduction Charges, Proposed Change Possible.

1AA

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This has been going around the system and it was sent to me today. Sounds like we all need to get involved.
 
 
http://www.petitions24.com/aa_keep_payroll_deduction_for_non-rev_travel
 
 
It has been brought to the attention of several American Airlines employees that American Airlines is considering changing the current method of Payroll Deduction for non-rev travel payment. The company is considering eliminating payroll deduction for active employees to a Credit Card process. The method being considered is payment by credit card. You will need to place a credit card on file with American Airlines for payment of travel. It is the understanding from several employees that payment will be made prior to departure. If for any reason you or your eligible traveling members do not make the flight you will be charged and must contact the non-rev travel desk via email for a refund. We are asking American Airlines to keep the current Payroll Deduction method and use the credit card method as a back up. We can only assume that American is considering this change of payment method for the following reasons.
 
1) Several employees receive a Zero or insufficient pay check to cover the non-rev fees. American has to wait for the following pay period to collect the charges.
 
2) American has your money collecting interest while you wait for your refund. Refunds can take days or weeks.
 
Please take a few minutes to read the petition and comments before signing and forward this on to other fellow American Airlines employees.
 
wow.... hard to believe that paying for standby travel in advance is a workable solution.

The process should be that if employees don't have sufficient pay to cover travel benefits, THEY should be responsible for paying AA within X days.
 
The interest collected is immaterial to a company the size of AA.  If I had to guess, doing this through payroll is likely more labor intensive than using a credit card.  FWIW, why would anyone want to do this via payroll deduction?  Wouldn't a credit card be better so you have the $ in your pocket well before you have to pay the credit card?  Seems the credit option would be an improvement for employees.  What am I missing?
 
 This has been discussed since Sept. 2014
 

Please Keep Payroll Deduction For Nonrev Travel
This question has been Answered.

Shawn Heaton Sep 19, 2014 5:53 PM
According to the Jetnet articles on upcoming Nonrev travel changes, next year AA employees will lose the ability to payroll deduct Nonrev travel charges.  At some point next year employees will have to start pre-paying for any travel related charges like first class travel, international taxes, and D3 or guest travel.
 
I think our current system of deductions after travel is better and I would like to see that system continue.  Although upgrade and other travel charges will be refundable, having to pay in advance will tie up available credit on our credit cards and in the event of last minute changes, we might have to pay twice and wait for a refund.  [SIZE=10pt]Paying after we travel will ensure that we are only billed for trips we take and charges we incur.  [/SIZE]
 
The purpose of this post is for employees to be able to express their opinions on the payment of travel charges.  No matter which form of payment you prefer, please feel free to post your opinion here and let other employees know they can do the same.  I would like the company to see what we all think about these potential changes.  Please be respectful of other opinions even if we disagree.
 
Thanks for your time.




Correct Answer by Thomas Bingham on Feb 1, 2015 2:54 PM

Hi everyone. In case you missed it in this week's Arrivals, Loral Blinde shared an update that will help answer many of the questions in this discussion (you can also see Loral's answer in the 4Q14 State of the Airline videos). Specifically, how we will pay for non-rev travel and when will we make that payment. With the primary topics of this discussion officially addressed and finalized, we'll be closing the discussion. Be sure to stay tuned to Jetnet for more information in the future and thank you for being such active participants in our online community.
 
1AA said:
This has been going around the system and it was sent to me today. Sounds like we all need to get involved.
 
 
http://www.petitions24.com/aa_keep_payroll_deduction_for_non-rev_travel
 
 
It has been brought to the attention of several American Airlines employees that American Airlines is considering changing the current method of Payroll Deduction for non-rev travel payment. The company is considering eliminating payroll deduction for active employees to a Credit Card process. The method being considered is payment by credit card. You will need to place a credit card on file with American Airlines for payment of travel. It is the understanding from several employees that payment will be made prior to departure. If for any reason you or your eligible traveling members do not make the flight you will be charged and must contact the non-rev travel desk via email for a refund. We are asking American Airlines to keep the current Payroll Deduction method and use the credit card method as a back up. We can only assume that American is considering this change of payment method for the following reasons.
 
1) Several employees receive a Zero or insufficient pay check to cover the non-rev fees. American has to wait for the following pay period to collect the charges.
 
2) American has your money collecting interest while you wait for your refund. Refunds can take days or weeks.
 
Please take a few minutes to read the petition and comments before signing and forward this on to other fellow American Airlines employees.
Loral Blinde, VP, People and
Employee Services (standing in for Travel
Guru Cari Ulrich)
Q. I had heard that when non-revving we have
to pay for the upgrade to First in advance via
pre-pay. In the end-state program, how will
that work if you’re flying on a multi-segment
itinerary, you buy an upgrade in advance, but
then you have to change your routing because you can’t get on a flight?
A. That’s how it currently works with non-rev travel on US Airways flights
booked via Travel US. In the end-state travel program, we’re moving to
some form of electronic payment (exactly what program is still being
determined) and you’ll pay after you travel. So there won’t be any issue
with you having to pay and then collect a refund.
 
Personally, I never liked the AA way of payment for non-rev travel, as while I have flakey friends who I trust well enough to not act like donkeys on the planes, I don't feel like chasing them around for payment later.  Not to mention, put a couple of them on an overseas trip and my paycheck is wiped-out.  Someone has an "emergency" and they need to fly, but not the money yet to pay, so I become the finance company out of my paycheck?  Put it on the non-rev's credit card and let someone else worry about collections later, instead of me listening to excuses.
 
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Jester said:
Personally, I never liked the AA way of payment for non-rev travel, as while I have flakey friends who I trust well enough to not act like donkeys on the planes, I don't feel like chasing them around for payment later.  Not to mention, put a couple of them on an overseas trip and my paycheck is wiped-out.  Someone has an "emergency" and they need to fly, but not the money yet to pay, so I become the finance company out of my paycheck?  Put it on the non-rev's credit card and let someone else worry about collections later, instead of me listening to excuses.
You need to pick better friends. Just saying.
 
1AA said:
You need to pick better friends. Just saying.
 
My immediate family would agree with you.  The pool of potential rich friends were already taken, so get the friends with big dreams, but on the lower end of the socio-economic scale.  But if they cannot get the credit card charge through on a pass travel, I'm not fronting them the money either out of pocket or out of my paycheck-- I know enough not to do that.
 
Current system has worked well for quite awhile.Figures the desert denziens want to "Fix it".

The petition is nice,but Parker cares not one iota.See his comments regarding retiree travel priority.
 
Jester said:
 
My immediate family would agree with you.  The pool of potential rich friends were already taken, so get the friends with big dreams, but on the lower end of the socio-economic scale.  But if they cannot get the credit card charge through on a pass travel, I'm not fronting them the money either out of pocket or out of my paycheck-- I know enough not to do that.
 
 
they pay before they fly. i dont trust this company to refund anything anytime soon.
 
Jester said:
 
My immediate family would agree with you.  The pool of potential rich friends were already taken, so get the friends with big dreams, but on the lower end of the socio-economic scale.  But if they cannot get the credit card charge through on a pass travel, I'm not fronting them the money either out of pocket or out of my paycheck-- I know enough not to do that.
You misunderstand.  It will not be your D3 friends who will be paying by credit card in advance for their non-rev travel.  It will be you.  Your friends can neither book nor pay for non-rev travel.  You have to do it.  It won't be any change to your status as loan officer or alleged rich uncle.  You will still be paying, but instead of payroll deduction, the company will be charging one of your credit cards.  Nothing more than the company is guaranteed it's money in a hurry--it no longer has to worry that you might not work a full schedule next month and not have enough in your net income to pay for your friends travel.
 
jimntx said:
You misunderstand.  It will not be your D3 friends who will be paying by credit card in advance for their non-rev travel.  It will be you.  Your friends can neither book nor pay for non-rev travel.  You have to do it.  It won't be any change to your status as loan officer or alleged rich uncle.  You will still be paying, but instead of payroll deduction, the company will be charging one of your credit cards.  Nothing more than the company is guaranteed it's money in a hurry--it no longer has to worry that you might not work a full schedule next month and not have enough in your net income to pay for your friends travel.
I have heard the opposite. D3 will have a system set up where they will go and pay for their pass beforehand and completely separate from D2's. The passes will come from your bank but will keep you from being the banker.
 
Sounds like a fuster kluck to me.  The company will have to set up a new department just to handle credit card refunds, and pissed off employees.  The way the system is now, is just fine.  If there are certain employees that keep coming up short, pull their flight benefits, and charge them interest - problem solved.  As far as D3 travelers go, pick the people on your list very carefully.
 
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It's all automated. From when you list yourself to payroll deduction. Only if a problem arises a human being steps in to investigate and correct the problem.
 
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