AFA is fighting to improve your retirement today
Delta management made a unilateral change nearly 20 years ago to the pre-merger Delta Retirement Benefit that affects you and over 5,000 Flight Attendants on the line today.
Our union campaign and AFA have taken action in support of you and the retirement you have earned.
In a July letter, AFA Legal wrote to the federal government “to review whether any federal law continues to require the reduced benefit formula Delta adopted following passage of the Pension Protection Act (“PPA”) and whether the ongoing application of that reduction is consistent with ERISA's fundamental purpose of protecting retirement security and ensuring that employee benefit plans are administered in the interests of participants and beneficiaries.”
Here’s what happened in 2007 that still affects you and your retirement today. Delta management changed the retirement plan for employees who were not 52 years old, as of March 31, 2007. Since then, if your employment ends because of retirement at or after age 52, the 2007 amendment:
- reduced the retirement benefit,
- increased the Social Security offset; and
- resulted in a “Deferred Vested Benefit” instead of the “Retirement Benefit” employees expected and were promised.
The Pension Protection Act was meant to offer temporary relief to employers after a period of economic downturn — in Delta’s case for 17 years. That’s now over. “[W]hile Delta opted to offer a reduced benefit under the PPA during the funding-relief period, the IRS concludes that federal law does not require the continued application of the benefit reduction indefinitely,” AFA continued in the letter.
This means Delta management likely has the legal authority and the funds to remove this amendment and increase pre-merger Delta Flight Attendant’s retirement if they chose. We have requested that the federal government look into the continued application of this Amendment, the current funding status of the plan, and its impact on beneficiaries.
How can our union make a difference? Pre-merger Northwest Flight Attendants on the line today do not have the Social Security Offset deducted from their paychecks thanks to the AFA contract and representation before the merger.
It’s time we secure our union and improve retirement for every single person on the seniority list. Sign your card today and join our campaign.
AFA is fighting to improve your retirement today
