Pensions: Will the money be there? (subscription)
September 26, 2004
H.J. Cummins, Star Tribune
Charles Slay turns 55 on Oct. 4. Twenty-five days later he'll pick up his tool case, walk out of Northwest Airlines maintenance Hangar B for the last time and begin collecting a monthly pension of $1,200.
That's about $1,600 a month less than Slay would have received if he'd stayed at Northwest until age 62. But after 25 years as a mechanic, Slay is ready to go home to Atlanta. And given the precarious financial condition of Northwest and other major airlines, he figures a reduced pension now is better than the uncertainty that lies ahead.
"I decided to get out ahead of all that rigmarole," Slay said.
Pensions are the sacred promise of a decent retirement for airline employees. But for Northwest and other major airlines, which collectively have lost more than $23 billion since 2000, they have become a multibillion-dollar burden.
"We have to protect our retirees and those retiring in the near future," said Jim Atkinson, president of the Aircraft Mechanics Fraternal Association (AMFA) Local 33 at Northwest. "But for future generations, like mine, I think we might want a different plan, one we can control and one we can take with us if we get laid off."
While Many of the Unions and Associations are fighting to retain their Pensions Amfa is willing to throw in the towel! What was Delle's Quote: Gut the Pension at United? Here is another prime example of Amfa at its best with Management!
September 26, 2004
H.J. Cummins, Star Tribune
Charles Slay turns 55 on Oct. 4. Twenty-five days later he'll pick up his tool case, walk out of Northwest Airlines maintenance Hangar B for the last time and begin collecting a monthly pension of $1,200.
That's about $1,600 a month less than Slay would have received if he'd stayed at Northwest until age 62. But after 25 years as a mechanic, Slay is ready to go home to Atlanta. And given the precarious financial condition of Northwest and other major airlines, he figures a reduced pension now is better than the uncertainty that lies ahead.
"I decided to get out ahead of all that rigmarole," Slay said.
Pensions are the sacred promise of a decent retirement for airline employees. But for Northwest and other major airlines, which collectively have lost more than $23 billion since 2000, they have become a multibillion-dollar burden.
"We have to protect our retirees and those retiring in the near future," said Jim Atkinson, president of the Aircraft Mechanics Fraternal Association (AMFA) Local 33 at Northwest. "But for future generations, like mine, I think we might want a different plan, one we can control and one we can take with us if we get laid off."
While Many of the Unions and Associations are fighting to retain their Pensions Amfa is willing to throw in the towel! What was Delle's Quote: Gut the Pension at United? Here is another prime example of Amfa at its best with Management!
