Scotron11 From United Kingdom, joined Feb 2004, 1276 posts, RR: 3 Posted (11 years 6 months 14 hours ago) and read 1953 times:
Report in NYTimes that 229 Pilots at DL have opted for retirement, locking in their benefits prior to a 32.5% pay cut scheduled to go into effect today. 197 of these were early retirements.
These pilots will receive retirement benefits based on their salaries before the pay cuts. They can also elect to receive half their benefits a lump sum and the other half as an annuity later, thus ensuring they receive at least some payout even if DL files for bankruptcy. The carrier only expected 100 pilots to opt for retirement.
694 DL pilots have retired this year and as of last month 2000 of the carriers roughly 7000 active pilots were eligible to retire.
Moman From United States of America, joined Aug 2004, 1054 posts, RR: 4
Reply 3, posted (11 years 6 months 12 hours ago) and read 1853 times:
Delta worked out a deal with their pilots that they could continue to fly after they retire for a limited time until they can get the rest of their crew to staff the flights. This prevents a work shortage and a guaranteed bankruptcy filing.
N1120a From United States of America, joined Dec 2003, 29372 posts, RR: 73
Reply 4, posted (11 years 6 months 12 hours ago) and read 1841 times:
>I am glad to see this at DL, hopefully this will help out their finances.<
I can see it ripping DL apart. DL planned on the cost/benefit of 100 early retirements, with double that number, they will be short pilots to fly equipment and have to pay out a lot more cash than they can afford in lump sum payments. Additionally, they will likely have to pay more overtime to staff the cockpits while they are short pilots, or they will have to recall pilots on furlogh who may or may not want to return to DL with the major cuts
Mangeons les French fries, mais surtout pratiquons avec fierte le French kiss
N79969 From , joined Dec 1969, posts, RR:
Reply 7, posted (11 years 5 months 4 weeks 1 day 22 hours ago) and read 1690 times:
As bad as it is for Delta, this certainly was a foreseeable consequence following the drastic reduction in pilot salaries. Delta did what it had to do to keep its finances in order. These senior pilots are doing the exact same thing.
Frankly these pilots would be dumb not to jump ship right now.