A Letter to FDX ALPA Officers
03-12-2009, 04:00 PM
#1
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Thread Starter
Joined APC: May 2007
Position: Social Conservative
Posts: 56
A Letter to FDX ALPA Officers
I sent an email to the top FDX ALPA Exec officers and never got a reply. So I'm posting it here to get feedback to see if I'm way off base. It is based upon the "rumor" that the company is 700 pilots fat and is setting up to furlough 400. It also assumes that we are going to the 48-hour BLG on at least 3 aircraft for an extended period (Airbus, 727, and DC10). If this information is no longer valid, then the comments are not entirely valid.
----
Flying hub turns as opposed to international you certainly get more comments from fellow pilots, particularly during the hub turn. Here are some comments that have been discussed on the crew bus, lunch table, and the plane that I think are relevant and important.
1. Most pilots are quite upset that the union has not taken a firmer stance on carry-over. It's there month after month for the super-senior to take advantage of at the expense of the crew force. President Webb said at a meeting a while ago that it was something that recognized pilots seniority. Seniority is great, but not at the expense of the entire crew force! The union has taken a blind eye to this until recently, but the opinion of everyone I've talked to this week is that the union has not done anything substantial about it. Suggestions were to dispute the trips and other things, but I don't know what would work and am not privy to any discussions so I will personally pass on comments. Personally my gross pay as of 2/28 is down 22%, and the net down more due to increased health care costs. I would like to know the W2s for some of the top line holders and FDX ALPA Officers. I bet many are not seeing much (if any) reduction in pay.
2. In a 65 +/- 5 hour credit month (February), it is completely unacceptable to allow lines of 88 hours to be put into open time and picked up by the select few and/or management and/or check airmen. David Taylor says that the lines were all legal and assigned to various pilots correctly even though they disappeared from open time prior to the actual opening. While it all may be legal, the point is that there should never be lines that are over 30% ABOVE the BLG average. That is not sharing the pain. The trips should be split up.
3. Many, many pilots (myself included here) have buddies at other carriers. Without exception, every pilot has said that it is far, far better for the company to go for furlough/cut-backs in one big cut rather than several small cuts. A death by a thousand razor cuts is far more painful. While ALPA does not have any control over this, I'm sure they could at least let the company know that the multiple cuts are very disheartening to the pilot group, lowering morale and causing a lot of uncertainty and confusion on where we might end up. I've seen this before in another company, so I agree. Management has already said there will be more excess bids. Why? Let's just get this over with and see what shakes out. I'm not for gaming my standing bids, I just want to know where I'll be and get it over with.
4. While Dave (and others) fully endorsed President Obama since he was pro-labor, most of us aren't sure how much more pro-labor actions we can take. The President's budget clearly shows that mortgage deductions for people making more than $175,000 will decrease until it is eliminated at $250,000. The essence (according to Forbes and Fox Business Channel) is a 42% effective tax rate. That does not include the increase in Social Security taxes when the cap at roughly $100,000 is removed. Speaker Nancy Pelosi (and others, supported by President Obama) have repeatedly said that the tax benefits of 401k's needs to be reexamined and possibly a 15% across-the-board tax to help supplement Social Security. With all this pro-labor help, I may not be able to meet my living expenses. The point is that taxes are going up for many FOs and lots of Captains. With the reduction in hours, maybe some will be spared somewhat, but every budget proposal starts removing deductions at the $150K to $175K range, so many will be affected.
5. Many pilots (all of those I've talked to) are not prepared to accept a reduced BLG for an extended period of time. We all budgeted our living on certain assumptions, and if financially prudent established reserves. I'd be willing to bet that most pilots budgeted for a certain income level and at 25-35% reduction can be tolerated for a while (most financial advice says to have a 3-month reserve). But the company has not specified a time line and ALPA has not pushed one, so if this continues, I bet that many, many pilots will begin to be negatively affected. Can every pilot sustain a 30% annual cut for the 2-3 years the company thinks it will take to recover? If everyone can, then we are in good shape. Is this what the pilot group wants.
Medical premiums (up 10% at FedEx) and other expenses have all increased, including energy (gas, electricity, etc.) eating into the reserve for may, and the reduced BLG is starting to affect us. A sustained 30% cut will eventually lead to the depletion of all reserves for many and the inability to meet mortgage expenses quite possibly. I know this is a fact because of emails from other pilots asking for financial advice and help on getting money from their 401k to pay for their mortgage. If you budget on $225,000 and then your income drops to $160,000 or so, your fixed expenses don't change and the safety margin (if it still exists) becomes much smaller. The problem for some is exacerbated by the fact that property values have dropped significantly and you can't get an equity loan to help out.
CONCLUSION: Pilots want the ordeal over with by getting the cutting done with. Quit playing the game, and let the furlough take place if it is inevitable. If not, specify a time limit for the reduced BLGs. No one sees the economy recovering this year, so most likely the company will have to furlough unless the union knows something the rest of the crew force doesn't. So lets get it done so that not everyone ends up paying for this mess. While it is no fun to see brothers on the street, it is a fact of life for many today. Other pilots are furloughed, and many businesses are laying off. To continue this reduction for an extended period of time (two to three years) is going to put many of us in dire financial straights.
We need to see some aggressive actions by the union, or at least positions the union is taking on various points.
----
Thank you for your time.
----
Flying hub turns as opposed to international you certainly get more comments from fellow pilots, particularly during the hub turn. Here are some comments that have been discussed on the crew bus, lunch table, and the plane that I think are relevant and important.
1. Most pilots are quite upset that the union has not taken a firmer stance on carry-over. It's there month after month for the super-senior to take advantage of at the expense of the crew force. President Webb said at a meeting a while ago that it was something that recognized pilots seniority. Seniority is great, but not at the expense of the entire crew force! The union has taken a blind eye to this until recently, but the opinion of everyone I've talked to this week is that the union has not done anything substantial about it. Suggestions were to dispute the trips and other things, but I don't know what would work and am not privy to any discussions so I will personally pass on comments. Personally my gross pay as of 2/28 is down 22%, and the net down more due to increased health care costs. I would like to know the W2s for some of the top line holders and FDX ALPA Officers. I bet many are not seeing much (if any) reduction in pay.
2. In a 65 +/- 5 hour credit month (February), it is completely unacceptable to allow lines of 88 hours to be put into open time and picked up by the select few and/or management and/or check airmen. David Taylor says that the lines were all legal and assigned to various pilots correctly even though they disappeared from open time prior to the actual opening. While it all may be legal, the point is that there should never be lines that are over 30% ABOVE the BLG average. That is not sharing the pain. The trips should be split up.
3. Many, many pilots (myself included here) have buddies at other carriers. Without exception, every pilot has said that it is far, far better for the company to go for furlough/cut-backs in one big cut rather than several small cuts. A death by a thousand razor cuts is far more painful. While ALPA does not have any control over this, I'm sure they could at least let the company know that the multiple cuts are very disheartening to the pilot group, lowering morale and causing a lot of uncertainty and confusion on where we might end up. I've seen this before in another company, so I agree. Management has already said there will be more excess bids. Why? Let's just get this over with and see what shakes out. I'm not for gaming my standing bids, I just want to know where I'll be and get it over with.
4. While Dave (and others) fully endorsed President Obama since he was pro-labor, most of us aren't sure how much more pro-labor actions we can take. The President's budget clearly shows that mortgage deductions for people making more than $175,000 will decrease until it is eliminated at $250,000. The essence (according to Forbes and Fox Business Channel) is a 42% effective tax rate. That does not include the increase in Social Security taxes when the cap at roughly $100,000 is removed. Speaker Nancy Pelosi (and others, supported by President Obama) have repeatedly said that the tax benefits of 401k's needs to be reexamined and possibly a 15% across-the-board tax to help supplement Social Security. With all this pro-labor help, I may not be able to meet my living expenses. The point is that taxes are going up for many FOs and lots of Captains. With the reduction in hours, maybe some will be spared somewhat, but every budget proposal starts removing deductions at the $150K to $175K range, so many will be affected.
5. Many pilots (all of those I've talked to) are not prepared to accept a reduced BLG for an extended period of time. We all budgeted our living on certain assumptions, and if financially prudent established reserves. I'd be willing to bet that most pilots budgeted for a certain income level and at 25-35% reduction can be tolerated for a while (most financial advice says to have a 3-month reserve). But the company has not specified a time line and ALPA has not pushed one, so if this continues, I bet that many, many pilots will begin to be negatively affected. Can every pilot sustain a 30% annual cut for the 2-3 years the company thinks it will take to recover? If everyone can, then we are in good shape. Is this what the pilot group wants.
Medical premiums (up 10% at FedEx) and other expenses have all increased, including energy (gas, electricity, etc.) eating into the reserve for may, and the reduced BLG is starting to affect us. A sustained 30% cut will eventually lead to the depletion of all reserves for many and the inability to meet mortgage expenses quite possibly. I know this is a fact because of emails from other pilots asking for financial advice and help on getting money from their 401k to pay for their mortgage. If you budget on $225,000 and then your income drops to $160,000 or so, your fixed expenses don't change and the safety margin (if it still exists) becomes much smaller. The problem for some is exacerbated by the fact that property values have dropped significantly and you can't get an equity loan to help out.
CONCLUSION: Pilots want the ordeal over with by getting the cutting done with. Quit playing the game, and let the furlough take place if it is inevitable. If not, specify a time limit for the reduced BLGs. No one sees the economy recovering this year, so most likely the company will have to furlough unless the union knows something the rest of the crew force doesn't. So lets get it done so that not everyone ends up paying for this mess. While it is no fun to see brothers on the street, it is a fact of life for many today. Other pilots are furloughed, and many businesses are laying off. To continue this reduction for an extended period of time (two to three years) is going to put many of us in dire financial straights.
We need to see some aggressive actions by the union, or at least positions the union is taking on various points.
----
Thank you for your time.
Last edited by MoneyMan; 03-13-2009 at 12:42 PM. Reason: Clarification
03-13-2009, 10:23 AM
#2
Gets Weekends Off
Joined APC: Jan 2008
Position: MD11 FO
Posts: 142
So glad to see you're willing to throw the junior guys out the door.
Your letter is pathetic.
I don't like the pay cuts either but it's not an option for the union to accept a furlough under any circumstances other than forced by the company. If the union can delay or eliminate furlough as an option somehow as you imply they are doing, then that is exactly what they should do. You are obviously willing to have someone lose all of his income so you can have a bit more.
Again.....pathetic.
Your letter is pathetic.
I don't like the pay cuts either but it's not an option for the union to accept a furlough under any circumstances other than forced by the company. If the union can delay or eliminate furlough as an option somehow as you imply they are doing, then that is exactly what they should do. You are obviously willing to have someone lose all of his income so you can have a bit more.
Again.....pathetic.
03-13-2009, 11:10 AM
#5
Gets Weekends Off
Joined APC: Oct 2008
Position: Heavily Involved
Posts: 473
CONCLUSION: Pilots want the ordeal over with by getting the cutting done with. Quit playing the game, and let the furlough take place if it is inevitable. If not, specify a time limit for the reduced BLGs. No one sees the economy recovering this year, so most likely the company will have to furlough unless the union knows something the rest of the crew force doesn't.
----
Thank you for your time.
----
Thank you for your time.
1. He didn't think the company was going to furlough as we are only 300 pilots fat.
and the biggie.......
2. He expects these super low BLG's to continue the next 3 or 4 YEARS. Perfect timing for our next contract!
03-13-2009, 11:33 AM
#6
Gets Weekends Off
Joined APC: May 2006
Posts: 2,889
Moneyman,
If you will send your tome to my ALPA address I'll be glad to discuss your points, or you can call me.
I'm sure doing so here would make a lot of folks very uncomfortable, but even though I'm not your rep I'm willing to chat.
For everyone--hard times make us snipe and pull at each other. The overall economy and some past decisions by management are probably causing most of this pain. Try to remember it ain't the guy or gal you are sharing the cockpit with that caused this.
And yeah...I'm an optimist...but I think we'll work through this.
If you will send your tome to my ALPA address I'll be glad to discuss your points, or you can call me.
I'm sure doing so here would make a lot of folks very uncomfortable, but even though I'm not your rep I'm willing to chat.
For everyone--hard times make us snipe and pull at each other. The overall economy and some past decisions by management are probably causing most of this pain. Try to remember it ain't the guy or gal you are sharing the cockpit with that caused this.
And yeah...I'm an optimist...but I think we'll work through this.
03-13-2009, 11:37 AM
#8
Gets Weekends Off
Joined APC: Apr 2007
Position: B-777 F/O
Posts: 120
Basic Math
Let's do the math: 30% paycut (reduced BLG) v/s 100% paycut (furlough). Which one's really harder on the budget?????????
Years of plenty are definitely gone for a while, but let's work together as a union and try to remain united in keeping folks' jobs...as long as possible!!
03-13-2009, 11:44 AM
#9
Gets Weekends Off
Joined APC: Jan 2009
Position: low hanging fruit
Posts: 116
What planet did you come from? Your letter is utterly despicable. You should be ashamed of yourself. What a pathetic attempt to gain sympathy. You are crying over ONLY making $160K when we have hundreds of junior folks AND THEIR FAMILIES who are facing a 100% pay cut and total financial collapse. So, your solution for solving the pilot group's problems is to sacrifice the junior folks so you don't have to be financially inconvenienced anymore? You've got to be joking. This may be news to you pal but WE ARE ALL experiencing the financial pain, not just you. There are hundreds of pilots here who are suffering far worst than you who make a fraction of your enormous paycheck. Have you ever been furloughed for years before? If you haven't then you need to keep quiet. If you have then you should understand how devastating it is to lose your livelihood. Your solution to just "get it over with" and furlough hundreds of people so you can get back to making your $225K is pathetically selfish, embarrassingly short-sighted and totally disgraceful. Your total lack of compassion for your fellow co-workers is atrocious. We have so many junior people here slugging it out in the trenches, many of whom are on reserve being abused. They are barely earning 4 CHs a day while working the same amount of days and taking a huge financial hit. Your letter speaks for no one but yourself. The next time you want to print garbage like that keep it to yourself. And yes, you are way off base. Way to go one-way.
03-13-2009, 11:48 AM
#10
Trust but Verify!!
Joined APC: May 2006
Position: MD11 CRA
Posts: 684
Something to consider...."O" was in RGS this last week and said:
1. He didn't think the company was going to furlough as we are only 300 pilots fat.
and the biggie.......
2. He expects these super low BLG's to continue the next 3 or 4 YEARS. Perfect timing for our next contract!
1. He didn't think the company was going to furlough as we are only 300 pilots fat.
and the biggie.......
2. He expects these super low BLG's to continue the next 3 or 4 YEARS. Perfect timing for our next contract!
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