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1320 N. Prairie Ave.
Dallas, Texas
March 8, 1949

Mr. Murray Latimer
Washington, D.C.

Dear Mr. Latimer:

    This is written to pose two questions regarding the proposed Retirement Plan for Air Line Pilots.
    First, under Section 2, (a), part 6 of the revised draft of the Plan, what would be the annuity, or method of computing the annuity, for the individual who has ten(10) years of airline service, retires, loses his "employment relationship" and then is completely disabled for all types of employment? I have not been able to find this provision in the revised draft of the Plan.
    Secondly, what is your opinion of the possibility of incorporating in the Plan an election upon retirement, voluntary or otherwise, of taking the paid up annuities which have accrued or taking a cash refund of the employee's contributions? There is a very strong resistance among the pilots to the Plan in its present form and it is possible that it will fail to secure the necessary vote of approval. However, if the election stated above could be included in the Plan it would almost certainly win approval. Some of the cost of this provision might be defrayed by eliminating the lumpsum payments to survivors. It is my understanding that there is some legislative precedent for the cash election idea.
   Your comments and, if possible, estimates of the cost of such a provision in the present Plan would be of great value in our future planning for a security program for airline pilots.

Yours very truly,
(signed)
Clarence N. Sayen