If a few judges would simply direct the remaining assets into the support of the retirement program (thereby forcing the early sale of those assets to more deserving owners), you'd find fewer companies wasting their money.
Just a few years ago American Retail Group Inc., a privately-held company closed Uptons, its Atlanta-based department store chain, BEFORE they ran into financial problems so they could protect their capital, pay off all their creditors (and employees) and invest in more productive enterprise.
Courts should be encouraging companies to follow Uptons example.
Yes, it's a vicious cycle. Now other legacy airlines will be forced to jettison their pension plans to compete with Delta. The good news is that we taxpayers will pick up a good portion of the tab.
that is not how the bankruptcy court works.
The question is whether the company can continue to operate and the benefit to those who actually still have jobs.
The pilots union was free to argue you points to the bankruptcy judge.
It really boils down to the benefits of an operating Delta Airlines vs a deceased Delta Airlines. Eastern Airlines has not employed many people recently.