Originally Posted by
Curtain rod
CX Comparison with our failed TA
Key components of the agreement include:
- An immediate pay increase of 14.65% and 3% annual wage increases over the life of the contract, for a compounded increase of 29.04% (Only 2.5% next year and the year after, nothing after that, almost 1/6th of UPS pay increase, but less if inflation is less, and more if inflation is more, but only half of the difference is awarded, for a total of 5% vs. 29.04%)
- A $60,000 signing bonus for Captains, and a $40,000 signing bonus for First Officers ($0)
- A 40% increase to the defined benefit pension plan ($0, as there is no DB plan, only a P Fund feeding most of your profits to HSBC in fees)
- Crew rest enhancements, including more favorable duty period limits for overnight and international flights; additional sleep facilities at major gateways; and sleep modules in UPS B767 aircraft (Reduced crew rest via RP cancellation and the imposition of reduced manning levels)
- A commitment by UPS to work with the IPA in applying the latest in fatigue science to pilot scheduling (No commitment at all to fix the 99% of fatigue-related issues, since rosters are always "legal" - unless there is not just no cost, but it is a financial/commercial advantage to fix an issue, but even then only if yet another concession from the pilots is extracted in exchange, hopefully a concession which has already been extracted before but then unilaterally canceled by management so that it can be extracted again)
As another point of reference. Southwest Airlines pilots have reached an agreement in principle (AIP) for a new contract.
It includes:
1) An immediate pay rise of 15%, followed by 4 annual raises of 3%. ( ~ 29% compound raise)
2) Backpay (Retro bonus) for the three years of negotiations. 3% for year one, 7% for year 2 and 11% for year 3. Percentage of yearly pay, including profit sharing. Average earning Captain bonus U.S. $60K. F.O - $40K.
3) Retirement increase to 15% paid by Company, with no requirement for a pilot to contribute in order to receive the company contribution.
4) Increase in Reserve pay and improvement in work rules.
Profit sharing is above and beyond all of that. It has been in the order of 8 - 15% of annual gross earnings in the last three years. Not guaranteed obviously. No profit, no sharing.