DBP, PBGC, FAA, DOJ & HDR
Alphabet soup that spells trouble for the Defined Benefit Pension Plans in the Airline Industry.
In addition to the previously referenced article from AW&ST, April 11 2005, it now appears that DOJ, Department of Justice, has signed on for "slot auctions" at ORD as a means to ensure previous complaints of "anti-competitive" practices in the awarding of slot authorities be cured.(Ref: AW&ST June 6, 2005.)
Again, this is simply the template by which other "slot controlled" airports covered under the current HDR, High Density Slot Rule, are forced to re-allocate their capacity in light of "market-forces."
Congress, both Republican and Democrat, are firm in their committment that a quasi federal entity like AMTRAK, but covering the airlines, will not be allowed to be placed at their feet.
With the coals being heated with respect to the pension debacle looming at their doorstep, both parties will play ball and ink a deal that "holds both parties harmless."
IMHO: If you have to score this one, employees will make out in the short run on the DBPs; employers will take it in the shorts for those currently covered but make it back in concessions to come up with the cash for the auctions as a means to continue doing business.
Alphabet soup that spells trouble for the Defined Benefit Pension Plans in the Airline Industry.
--------------------------------------------------------------Former ModerAAtor said:
In addition to the previously referenced article from AW&ST, April 11 2005, it now appears that DOJ, Department of Justice, has signed on for "slot auctions" at ORD as a means to ensure previous complaints of "anti-competitive" practices in the awarding of slot authorities be cured.(Ref: AW&ST June 6, 2005.)
Again, this is simply the template by which other "slot controlled" airports covered under the current HDR, High Density Slot Rule, are forced to re-allocate their capacity in light of "market-forces."
Congress, both Republican and Democrat, are firm in their committment that a quasi federal entity like AMTRAK, but covering the airlines, will not be allowed to be placed at their feet.
With the coals being heated with respect to the pension debacle looming at their doorstep, both parties will play ball and ink a deal that "holds both parties harmless."
IMHO: If you have to score this one, employees will make out in the short run on the DBPs; employers will take it in the shorts for those currently covered but make it back in concessions to come up with the cash for the auctions as a means to continue doing business.
