(B) PENSION
BA has closed its Final Salary Pension Scheme to all new joiners. This scheme allowed up to 2/3 final salary to be taken as pension. BA contributed approx 25% of a pilot's pensionable salary to this scheme.
The new scheme (as currently proposed) is significantly less beneficial. The scheme will be a "Money Purchase" type, where the liability rests with the employee. BA is proposing contributing only approximately 9% of the pilot's basic pay... far less than currently contributed by the employer in a number of equivalent schemes (e.g. Virgin Atlantic).
Under the current proposals it is unlikely that a pilot will receive more than half his final salary as pension (depending on investment / stock market performance).
This is exactly what was proposed by a potential investor in Air Canada. All of the involved unions told him to "stuff it". We were willing to let the company liquidate over the pension issue. The potential investor walked away, and we still have our original pension plan. I am surprised BALPA would put up with this.