Agenda Item # 6
SUBJECT: Dues – Prepayment of Annual Dues (Article XI.B.4.)
STATEMENT OF QUESTION:
Should the 10% discount for prepayment of annual dues be eliminated?
SOURCE AND DATE SUBMITTED: International President – February 27, 2015
BACKGROUND INFORMATION:
This discount was introduced at a time when interest rates were high and it made fiscal sense for the Union to collect dues on an annual basis. Currently, however, this 10% discount far exceeds the financial benefit to the Union and results in reduced resources available to provide representation to members.
There are approximately 650 members, primarily senior F/A’s with higher incomes, who enjoy this reduction of $60 per year. This represents a union-wide cost of about $39,000 that could otherwise be allotted to other key priorities of the Board of Directors.
PROPOSED RESOLUTION:
WHEREAS, significant savings can be achieved by eliminating the 10% discount for prepayment of annual dues;
THEREFORE BE IT RESOLVED, Article XI.B.4. be deleted and the following Article remembered accordingly:
4. Prepayment of Annual Dues
Any member may pay dues annually in advance prior to July 1 of any year. instead of quarterly and a ten percent (10% discount will be granted to such member on such annual prepaid amount.
