Airlines warn of pension problems

[coyote]

CEOs of Northwest and Delta Air Lines told Congress Tuesday they'll need bankruptcy court protection unless lawmakers give them longer to pay pension obligations.


Such court filings would be a necessary step toward abandonment of their defined-benefit pensions to a government insurer.


"Northwest has concluded that defined-benefit plans simply do not work for an industry that is as competitive and as vulnerable to forces that are largely beyond its control," said CEO Douglas Steenland, citing terrorism and oil prices. Defined-benefit plans promise a worker a specific retirement benefit calculated by years of service and pay level.

more...

http://news.yahoo.com/s/usatoday/20050608/ts_usatoday/airlineswarnofpensionproblems

[October]

1. Surprise, surprise, surprise....not .......eom

[Lindsay]

2. Raise your hand, anyone who didn't

see this coming.

[denverbill]

3. Defined benefits work fine as long as non-union competition is gone.

But when it has become a race to the bottom for wages and benefits, naturally, the company that treats it employees best loses.

[Stockholm]

4. privitizing the profits and socializing the risks n/t

[gratuitous]

5. Gee, all these rugged, laissez faire entrepreneurs

Running to the government to protect them from the market forces. Why don't the CEOs just take a little pay cut?

[maxrandb]

7. Several Times a Thread, Someone On DU Says Something that

makes so much sense and is, at the same time, humerous and true.

I hope the leadership of the Democratic Party is reading DU. Your plain, bold, common-sense statement sticks a wooden stake through the heart of the Repuke mantra of "rugged individualism", and "boot-strappiness".

You make an excellent point. Why would the "filthy rich", "rugged individualist", Heart of America "entrepreneurs", run to the federal government for protection?

Could it be that their so-called "rugged individualism" is simply "lip service" meant to subtly imply that the rest of us are lazy good for nothing low-lifes, while they rob everyone blind?

Why do they hate America? Don't they support the "market forces"?

Maybe they are like the kid in the Warren Zevon song.

"The poet who lived next door when you were young and poor
Grew up to be a backstabbing entrepreneur"

[gratuitous]

13. Thanks for the kind words

Humor can be a devastating weapon, and I try to swipe from only the best.

[Doctor_J]

6. I wonder how many pension defaults are going to have to occur

before working people actually start getting pissed.

[maxrandb]

8. It's Going to Take a While

I mean, thank god that gays can't get married. Besides, those godless Democrats just want to tear down the 10 Commandments and replace them with witchcraft and sorcery. We don't give a shit how much money the Republicans steal from us, because their leader is a guy I could sit down and have a beer with. Besides, although I'm only making $40K a year, and can't afford to send my kids to college; as long as I keep voting Republican and getting my $300 a year tax-cut, why, it will only be a matter of time 'til I'm raking in the kind of dough Dick Cheney is.

Haven't you heard??

If it weren't for our fearless leader, we'd all be speaking Farsi!

:sarcasm:

Who was it that said; "we live in a time where logic doesn't matter"?

[napi21]

9. Did you see the hearings on cspan?

I thought it was hysterical when Sensenbrenner literally told the CEO of Delta to BE QUIET! You're going to listen to me!

He told him he had no problem blaming everyone and everything else for the problems, but the real cause is BAD MANAGEMENT!

I've looked everywhere for a video of this hearing, and can't seem to find one. I woke up this morning in time to catch the last 30-45 mins on cspan at 5:00 AM.

[DemoTex]

10. If I were the king I'd nationalize the airlines, then ..

I'd nationalize the oil companies.

[0007]

11. Why don't these airlines get smart and just hire Saudi Arabia

airline pilots?

[wallwriter]

12. In the Rupug world, bankrupt corporations run to the govt

for protection, but bankrupt individuals are stuck with their debts permanently.

Hey, it works for United and MBNA. So screw all the rest of you.

[JRob]

14. and GM and American Airlines will follow close behind... After that

the corps will be lining up to turn pensions over. The people are only force that can stop our free-all back to the dark ages; of course I'm just a radical alarmist...

[Norquist Nemesis]

15. When they yank those pensions

I hope they make those former execs pay back all of their golden parachutes too!!! Why these people get rewarded again and again and again for mismanagement is criminal!