In light of the recent or impending loss of a large number of pilots from ALPA, including those from US Airways, America West, Skyway, Aloha, ATA, and Champion, ALPA faces a significant shortfall in its operating budget from diminished dues revenues. The ALPA Executive Council and Executive Board, at its recent meeting this week, took action on two items that will help close the gap on this funding shortfall.

The first initiative passed by the Council and the Board were the adoption of two resolutions to change both the Constitution and By-Laws and the Administrative Manual to allow 401(k) contributions to be subject to ALPA dues for all ALPA pilots. Current policy exempts 401(k) contributions from dues if a 401(k) plan is the only form of retirement plan available to a pilot group.

If a pilot group had access to a Defined Contribution or similar plan, their 401(k) contributions would be subject to dues. With the freezing or elimination of virtually all of these available plans at those carriers, the pilots of those carriers find themselves paying dues on 401(k) contributions while that plan is their sole remaining retirement vehicle. In the interest of fairness and with consideration of the fiscal shortfall, the Council and Board adopted the proposed resolutions to subject all 401(k) contributions to ALPA dues. This change will not take effect until it is approved by a 2/3 majority vote of the Board of Directors.