The Delta PWA is between ALPA and Delta....Skywest and the other lift providers aren't a party to that agreement. Delta can only use incentives to get out of agreements they signed. If the price is right, Skywest Inc. will help park 50s early....If the price isn't right, they will fly them until the original agreement runs out.
True dat... They can fly all the 50s they want. They just won't be flying them under the DAL umbrella.
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Position: Douglas Flight Test & Work Around Engineering Field Representative
Posts: 7,320
Actually T, I think Joe's point is that if Skywest is not willing to modify their agreement then they get to "enjoy" flying the 50 seaters until their contracts expire. Some of those contracts run until 2015 and apparently some run to 2020.
At last count the total value of all those contracts was in the neighborhood of $28 Billion.
True dat... They can fly all the 50s they want. They just won't be flying them under the DAL umbrella.
What is the remedy if management doesn't comply with section 1 because the regionals are forcing looser scope limitations? What are the consequences if DALPA loses that grievance?
What is the remedy if management doesn't comply with section 1 because the regionals are forcing looser scope limitations? What are the consequences if DALPA loses that grievance?
Who knows? Not really my problem to come up with the solution. I would be amazed though if management didn't have some arrangement in place prior to signing an agreement with us. The fact is though is that they DID sign that agreement, and it is their problem as to how to remedy their agreements with SKYW and others. If they are unable to rectify those, then the 50s might just be around awhile longer. I would also find it hard to believe that SKYW would turn up their noses at additional 76s to hold DAL's feet to the fire to keep the dying 50s. I am pretty sure that if they did that they would watch their very lucrative arrangement with DAL go away in time as their contracts DO expire.
What grievance is there to lose? the company will not be able to add the additional 76s if they don't get rid of the 50s. That is easily enforceable. You seem to think they would be able to get the 76s on board AND keep the 50s?? I think that is bloody unlikely, and I can't imagine an arbitrator that would allow it, but I am sure ftb and a few others will be along shortly with the what-if, sky is falling scenarios to back up the paranoia...
Position: Douglas Flight Test & Work Around Engineering Field Representative
Posts: 7,320
Mesaba,
First, we do not know that management will not abide Section 1. They still have numerous options to comply.
Second, we do not know ALPA would grieve it, or what form it might take. Typically these "grievances" are like an LOA in substance.
As for consequences ... most likely none. Far worse has been done, and tolerated.
My best guess is that Skywest is negotiating in public. They know what Delta wants and have a pretty good idea of what Delta's offer is going to be. By "turning that down" it is hoped an even better offer will be forthcoming.
Skywest has not been profitable of late and they too need contractual modifications. My guess is that there will be a rational meeting of the minds. That's usually how it goes, although it if fun for us to postulate the more exciting alternatives.
IMHO Delta would be smart to realize this flying is core to our business and perform it ourselves. The cost of making deal after deal to entice parties to make necessary changes in the business model are themselves an unnecessary cost.
Correct, but Delta still has the ability to add 70 more 76 seat jets and can park or operate as many 50 seaters as they want, at any block hour ratio they want. The language in the PWA simply was not tight enough.
That is completely inaccurate. WRONG is actually a better word for what you wrote above.
Correct, but Delta still has the ability to add 70 more 76 seat jets and can park or operate as many 50 seaters as they want, at any block hour ratio they want. The language in the PWA simply was not tight enough.
Wow... really?? Damn, they put another one over on us..
True dat... They can fly all the 50s they want. They just won't be flying them under the DAL umbrella.
That's my point t.
I just can't see an economic reason for SkyWest to agree to 3-for-1 exchanges of 50-seaters for 76-seaters, there has to be an alternate plan...
There's an increasing amount of chatter that SkyWest Inc. DCI operated 50's will be slowly going to the USAirways side of the operation. For a while the 70/76-seaters will continue. Then as the MRJs come the SkyWest will shift the operation dedicated to DCI to the then merged AMR side of the operation.
This isn't anything new, When DAL pulled the ex Western flying from LAX SkyWest shifted the entire LAX DCI operation to United in less than a year.
This also gives Delta the ability to offer more lucrative exchanges to the other DCI operators. With the shift of the 150-ish 50-seaters at SkyWest from DCI to AMR/USAirways, Delta only has to orphan another 50 50-seaters and has 70 76-seaters to use as "currency" that will be easy to convoke other DCI operators to break existing contracts...
Delta wins by getting a better hand when it comes to replacing 50's for 76's at the remaining DCI carriers.
SkyWest wins by shifting to the huge newly created AMR/USAIRways feed operation an gets growth and jumbo RJs.
USAir wins because they get "merger cash" from SkyWest in exchange for the opportunity to become the main "jumbo-RJ" provider for the merged AMR/USAir...
It is still to early to tell what becomes of Eagle in this exchange...
By JA's comments I suspect that he is going to argue that our new section 2 provisions will not apply to him since his DAL DCI CPA was negotiated in good faith prior to this being added. He will further argue that if his agreements are not amended post this change to our PWA it does not apply to him. Little bit of hard ball.
Lucky for him, his first jets do not show up after 2015 and our renegotiation of our section1.
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