United Airline Pensions Take a Dive
After September 11, 2001, United Airlines employees agreed to take a collective $3 billion pay cut, with the assumption that their pensions would be safe. Instead, United files bankruptcy and turns the bill over to the the goverment who will fund the benefits at a 30% or more reduction. Meanwhile United C.E.O. Glenn Tilton's retirement benefits are safely locked away in a $4.5 million trust. Isn't that nice?
The justification for this unjust action is that it's better to cut pensions than lose jobs because the company has gone belly up. But, if you remember the airline bail-out of 2001 afforded to corporations like United Airlines, along with the $3 billion dollars that UA did not have to pay it's employees, it makes you wonder if the company has any genuine regard for its workers. This is not an isolated incident, however, and seems to be a growing trend across industries.
"I certainly do believe that this could have a long-term damaging effect on both the economy and the society, to the degree that a corporation doesn't view employees as human beings but simply commodities, like any other commodity, to be disposed of," commented Dr. Scott Paeth, Professor of Religious Studies at DePaul University on PBS' Religion and Ethics Newsweekly.
Sara Nelson Dela Cruz of the Association of Flight Attendants had this to say, "Americans should be in the streets protesting this everywhere." A good idea to be sure, but I'm afraid America is still asleep.
PRIMARY SOURCE: Religion and Ethics Newsweekly