Contrary to the advise we received in 1992, we may have to operate a PAYE (Pay As You Earn) system in which CX will withhold the UK tax. We will do our best to torture the pilots in the UK whether in the AOA/CPU or not. We will withhold all the UK tax that is required. We cannot calculate the Hong Kong tax, so both will have to be paid and the employee will apply for a refund from the appropriate authorities. This will mean less money in your bank account. You will have the AOA/CPU to blame not Cathay Pacific.
We are now working with our UK advisors, same used in 1992, to make your life as miserable as possible. Please give us time.
Even when we lose, we win.
As for the UK Pilots extending beyond the age of 55, it will not happen on A Scale conditions. If those pilots opt for extension beyond the age of 55, they will be based other than in the UK. We will have to confer with our advisors, but the extension beyond 55 is not possible on A Scale conditions.
Most UK based pilots approaching age 55 would only be too happy to sign away their rights to A Scale salary as most are ex-managers or Checkers. We cannot foresee any of the UK pilots challenging us and we cannot foresee the current AOA funding such a case or the individual. We will advise the AOA accordingly.
The Pilots in the UK signed a contract, which ends at the age of 55. We will terminate that contract, not on the basis of age, but on the term of the contract. If one will want to work with Cathay Pacific at the end of this contract, a new contract will have to be signed. It is simple contract law.
If we are threaten by this, Cathay Pacific will exercise our right to terminate your contract with 3 months notice and if you decide to take us to court, we will happily pay the 70,000 Sterling at the end of the Tribunal. This is the more inexpensive way than to pay A Scale.
The Management