California State Senate Unanimously Supports Pension Legislation
June 23, 2005
Sacramento, CA - The California State Senate passed a resolution today that would allow United Flight Attendants to continue to seek judicial review of the decision by the bankruptcy court concerning the viability of their pension plan. In a 31-0 vote, Resolution No. 16 recognized the federal legislation that would place a six-month moratorium on the termination of certain pension plans by the Pension Benefit Guaranty Corporation (PBGC).
"The bankruptcy court's decision sets a dangerous precedent that may jeopardize pensions for millions of American's who have worked hard all their lives with the promise that they were building a nest egg for their golden years," said State Senator Richard Alarcon, author of the resolution. "This strong bipartisan passage of Resolution No. 16 sends a message from California to the Federal Government that we cannot allow this injustice to disrupt the lives of former airline workers or millions of other deserving retirees."
"This overwhelming bipartisan support demonstrates the concern there is for the potential taxpayer bailout that could occur if the PBGC cannot remain solvent," said Terry Sousoures, AFA United Airlines Local Executive Council 11 President.
On May 10, 2005, over 121,000 active and retired United Airlines employees were affected when the federal bankruptcy court approved a $1.5 billion agreement that would allow all United employee pension plans to be turned over to the PBGC. This termination would be the largest transfer to the PBGC in history, with a total of over $6.6 billion in liabilities
"We all just want to have our pensions when we retire," said Carol Ong, an United Flight Attendant for over 16 years. "Today, the State Senators showed their concern to all United workers who have lost their pensions. No one should end up with little or no retirement."
75 Years of Safety & Service: 60 Years of Unity This year marks the 75th anniversary of the flight attendant profession and the 60th anniversary of the Association of Flight Attendants. More than 46,000 flight attendants, including the 21,000 at United, join together to form AFA-CWA, the world's largest flight attendant union. AFA is part of the 700,000-member strong Communications Workers of America, AFL-CIO. Visit us at www.afanet.org or www.unitedafa.org.