I am one of those "grossly overpaid" KLM pilots. The reason why we cost so much has two reasons:
1. We pay 52% income tax
2. All dutch citizens enjoy the most robust pension system in the world.
Danish And Dutch Pensions Top Mercer Index - International Adviser
When driving through the Netherlands, you don't see any shiny buildings or other elaborate richness. It is all sitting in the bank.
The Pilots Pension Fund has an invested capital of €8+ billion. There are about 4000 people (2800 pilots and 1200 retired persons) who are financially connected to the fund. That is a GUARANTEED average amount of € 2 million per person.
The pension fund is comfortably capable of sustaining its obligations until eternity. It can pay 115% of its perpetual obligations. See:
https://www.klmvliegendfonds.nl/nieu...september-2016
However, that is not enough. It is supposed to keep a 122% margin by law. The margin has been decimated from 122 to 115 percent because of the low interest rates lately.
To repair this, normally €600 million should be paid by KLM. A court order has prevented this from happening. This is the dilemma. Not a single KLM pilot wants KLM to pay €600 million. Neither does KLM. This is the cost of real pension sustainability.
To be continued.