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retires on October 1, 1947 for Eastern and July 1, 1948 for A.L.P.A. with 18 years service in each case. Three different combinations of salary are shown. In every case the A.L.PA. annuity is better than Eastern, some cases, three times as much.
As Table B shows very plainly, the A.L.P.A. Plan stacks the cards in favor of the man who quits flying because he has to. The plan assumes that the man who quits of his own free will has another job and that his full annuity need not start before he is 60. Further, for the pilot who has to quit a relatively early age, the annuity is more at the time he retires than it is for the man who quits at the same age and who waits until 60 for the annuity to begin. This is because the fellow who quits has another job and a chance to accrue more annuity in another place. The fellow who is disqualified will have no job and a hard time getting one. And his salary, when and if he gets a job, will average much lower than his pilot's salary.
Table C shows the case of a man who is assumed to be 39 on October 1, 1947. Pension based on two different sets of salaries are calculated. Table C compares (a) annuities when the pilot retires at 50 with the annuities beginning immediately; (b) annuities beginning at age 55 for pilots who quit at 50; and (c) annuities beginning at 60 for the pilots (the 12 out of a thousand) who work through to that age. The table also shows the contributions made by the pilots and the Company under the two plans. All of Table C assumes that the pilot works in every month at the salaries shown, from 39 to 50 in one case, and from 39 to 60 in the other.