Don Won
It took me a while to get my head round it, but you make an intersting point.
If the yearly adjustment for inflation pushes you into the next tax bracket, there is a real reduction in net pay. Next real pay rise will be negotiated when the current CEA expires in early 2008. I think the Air Nelson's starting rate without subjects on the Saab is $37,000, about 6 G more on the Q300 (I think).