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Pensions: Screw-O-Meter Needle Moves Higher

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Source: Various Reports

Date: Apr 05, 2005

Screw-O-Meter LevelThe Screw-O-Meter needle moved to its highest point ever today as news broke of the fact that United Airlines' plan to terminate and replace your pension will cause two thirds of us to lose over half of our promised pension benefit.

You can read more about this terrible announcement here:

Just FYI, pensions date back to the time of the Roman Empire. When Roman soldiers grew too old to fight, their well-being was taken care of by the Empire. Today, pensions exist because many people still believe that employers have an obligation to provide financial support for retired workers that have spent a lifetime in their service.

When Jumpseatnews was first created back in 2000, I wrote a detailed section on flight attendant retirement and pensions. For the conclusion of the section, I wrote:

While researching this section on retirement, I spoke with quite a number of senior flight attendants on the subject. Many had been flying for over 30 years and were able to provide me with a valuable perspective. Once all the facts and figures were in place, there remained still an emotional issue that carried forth with me throughout the entire project.

The United Airlines flight attendant retirement situation is a heartbreaking one.

Many senior flight attendants I spoke with simply could not afford to retire based on their pension. They come from a different era---before 401ks, mutual funds, and investment strategies. They work among us, wishing they were somewhere else. Many are frustrated and angry as to how they could receive such a small pension after putting in so many years of their life into a company as large and financially secure as the 75-year old UAL Corporation. They've described this feeling as a long, hard slap in the face. If anyone doesn't believe me on this point, then please go back to Fantasyland---you don't belong in the reality of 30+ years of flying.

Reviewing the data, facts, and figures will give you one perspective. Speaking with those that deal with the issue of retirement on a more personal basis will give you quite another. I don't blame them for feeling this way.

Hopefully, one day we can all receive retirement benefits befitting a lifetime of service and hard work.

That was written back in early 2000. Look at where we are today. There's not much else to say. Failing resolution prior to April 11, 2005, United will again file a Section 1113 motion seeking to modify our Contract specifically to permit termination of the Flight Attendant Pension Plan.

And that, JSN Reader, will put the needle far into the 'Extreme'.

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