Potomac Air Lodge 1976
International
Association of Machinists and Aerospace Workers
|
|
Potomac Air Lodge 1976
|
|
|
US Airways Pay Deferral Q and A Q. Does the five percent pay deferral apply to all employees, including officers and managers? A. Yes. The pay deferral policy applies to all employees, regardless of level, both part-time and full-time. Everyone, from the CEO to our lowest paid employee is included. It is a temporary sacrifice we must make to help the company survive.
Q. I earn less than $30,000 per year, will this apply to me? A. Yes. The pay deferral applies to all employees, regardless of annual salary.
Q. What parts of my pay will be affected? A. The deferral will affect base pay only and will not affect differentials or allowances, unless they are driven off of your base hourly rate. Overtime rates will be calculated based upon your reduced hourly rate. The difference will be repaid at the end of the deferral period along with the rest of your deferred pay.
Q. When will the deferral take effect? A. The deferral period will begin with the March 31 or April 1 payroll cycle. Employees on a weekly payroll will first be impacted April 11, employees on a bi-weekly payroll on April 18 and employees on a semi-monthly payroll April 30.
Q. How long will the deferral period be in effect? A. The deferral period will last no longer than 18 months. If the company reports a pretax profit in any quarter during which the deferral period is in effect, the deferral will immediately stop and repayment will begin in the next month.
Q. What if this is a very brief war—will the deferral period be abbreviated? A. The deferral period is not necessarily tied to the timeframe of actual hostilities. Even after the war has ended, the economic impact from reduced travel or increased fuel prices could continue to affect revenues. While we all hope for a quick resolution to hostilities, the date to end the deferral period will have to be evaluated in light of the economic circumstances we later face.
Q. How will I be taxed? A. You will only be taxed on the actual amount you are paid in a given pay period.
Q. What if I leave or I am furloughed after the deferral starts but before the repayment is made? A. Employees who are involuntarily separated (except for cause) or furloughed before the completion of the deferral period will be repaid at the completion of the deferral period in the same manner as active employees.
Q. How will the deferral be reflected on my pay stub? A. There will be a line item in the earnings section of your pay stub that will read “Deferral” and will be reflected with a negative number indicating the amount of your deferred pay.
Q. How will this be repaid? A. Once the deferral period is over, you will be repaid in equal amounts over the equivalent number of pay periods as the deferral period.
Q. Q. Will the deferral affect my pension? A. A. Yes. For employees in the defined contribution plan (DCP), because the Company makes contributions to your DCP based on the amount you are paid in a given pay period, a reduction in your pay will impact these contributions. When the deferral is repaid, the Company will make the appropriate contributions to your DCP based on your repayment amounts. For employees with defined benefit plans, the five percent deferral and the subsequent repayment may impact your final average earnings calculation.
Q. Q. Will my annual salary be reduced in US Airways’ records? A. A. No. This is a pay deferral, not a salary reduction. You will maintain your salary of record. Benefits that are based on annual salary, for example, life insurance, will not be reduced. |
PA AFL-CIO Scholarship Contest Voluntary Furlough Information Job and Training Opportunities
Local Lodge 1976
|
USAirways
