A Bonus for Airline
Employees
Months
before September 11, airlines were asking employee groups to make
wage and benefit concessions to help "save" the faltering
companies. After September 11, things only got worse. Tens of
thousands of airline employees have faced layoffs, outright job
loss, or the insecurity of knowing that their jobs are not secure.
Airline executives, desperate to avoid bankruptcy, have asked
employees to take cuts in benefits and pay to help "save"
the companies-and of course, their jobs. No company, no job. While
some of the executives offered to forego their salaries, they
didn't mention that they would retain their bonuses and stock
options. Some employees agreed with the plan to make concessions,
while others pointed out that similar compromises made previously
by employees of Braniff, PanAm, TWA and Eastern did not save those
employees' jobs. Nevertheless, concessions were made by those
who had not already lost their jobs. There really was no choice.
The
Nitty-Gritty from the Top
In a hearing before the Senate Committee on Commerce, Science
and Transportation, Mr. Edward Wytkind, President of the Transportation
Trades Department, AFL-CIO, stated the problem this way:
"Aviation
industry workers, including employees of airlines, Boeing and
aerospace suppliers, and airports, have suffered unprecedented
job loss and economic uncertainty. Some 100,000 airline employees
are out of work or facing imminent lay-off. Another 30,000 Boeing
workers are laid-off along with 51,000 additional aerospace
employees. But it is the multiplier effect of airline lay-offs
that is most startling. Airline industry data show a combined
workforce exceeding 600,000. However, the total workforce, if
related job sectors such as airports, aircraft manufacturing
and suppliers are included, totals 10.9 million. In other words,
one airline worker translates into 18 additional jobs in our
economy. And with bankruptcies looming large, it is easy to
conclude that the staggering job losses will only grow."
While
the airlines themselves received huge bailouts from the federal
government after 9/11, Congress seemed unconcerned about the fate
of the tens of thousands of airline workers Wytkind mentioned.
Many people who flew without a care before 9/11 are now hesitant
to board a plane at all. While the need for airport safety is
obvious, new security requirements have made the airport hassle
three times the ordeal that it was previously. Skyrocketing fuel
prices have translated to higher costs for airlines and higher
passenger fares. This means fewer passengers, fewer planes, and
fewer jobs in the airline industry, with employees paying the
biggest price.
In June of 2005, US Airways terminated its pension plan. Shortly
thereafterUnited Airlines went to bankruptcy court, and its petition
to eliminate its pension plan was approved by a Chicago bankruptcy
judge in May of 2005. That wiped out $9.8 billion in future benefits
United Airlines had promised its employees. Since then, American,
Delta and Northwest have all fallen into financial trouble, causing
more layoffs.
Employees
all over the US have long been reassured by these words: "If
anything happens to the company, the Pension Benefit Guaranty
Corporation (PBGC) will pay your pension. It's like pension insurance.
We pay into it for you." It sounded like a foolproof plan
to laid-off airline workers, as it would to most of us, until
they found out that the PBGC is underfunded and does not pay retirees
their full pension amounts. Once again, though, airline executives
receive everything they were promised.
Couldn't
they have worked somewhere else? After all, the unemployment rate
is low. Jobs are plentiful. Right? Not exactly. The US Department
of Labor reports that 7 of the 10 jobs expected to grow most rapidly
until 2012 pay less than $13.25 an hour-some much less.
The 7 top fields are retail sales clerk, customer service representative,
food service worker, cashier, janitor, nurse's aide, and hospital
orderly. 
For
comparison, look at the example of an airline mechanic. In Indianapolis,
where mechanics checked hundreds of planes for safety, mechanics
averaged $31 an hour. Family men in their 30s and 40s, they bought
houses and cars and other things in line with that salary. While
they were sent for "re-education and training" so that
they could re-enter the workplace, they found that the new jobs
they were offered were far below their skill levels and far below
the wages they needed to pay their bills. They were concerned
that they would have to file for personal bankruptcy-but with
no federal bailout to save them. Many laid-off airline employees
take lower-paying jobs simply for the health insurance, hoping
somehow to hold on to their houses and cars and to hold off the
credit card companies until things improve.
Suppose
you are still employed by an airline, but your paycheck and benefits
have shrunk, or you're a retiree who got the "PBGC shock."
Did your mortgage shrink? Your car payment? Your insurance or
phone or grocery bill? Of course not. You are left to make up
the shortfall.
In the title
of this article, we mentioned a bonus for airline employees. That
means former airline employees, too. Whether you're still flying
the not-so-friendly skies, working at a low-wage job, or trying
to figure out how to survive on your reduced pension, there is
an easy way to make up the deficit in your budget. You can do
it wherever you are, whenever you want. You will be in control
of how much you work and how much you make. Many call it a home
business, but the truth is that you can carry on business from
your hotel room, at the airport, on your lunch break, or at home
with your family.
All
you need is a computer and a phone. It's an answer that
has eased the minds of hundreds of people in situations like yours.
For free, confidential information,
simply fill in the web form below.
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Please fill out the webform
to the right giving your general contact information. After
you do so, we will contact you to share more about this
opportunity.
Success in business and in life is up to YOU... Take
a chance. Make it happen.
Jenn
Sample
401-849-2639
Email
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