Do not be fooled by ALPA and management.
American Eagle pilots should not allow ALPA and management to sandbag them with the latest "agreement in principle" hastily cobbled together in Washington D.C. The MEC was sequestered in Washington, away from the American Eagle pilots, by management and ALPA waiting the outcome of the AA pilot vote.
There were two documents prepared. One in the event the AA pilots ratified the LBFO from AA, and one incase it was rejected by a slim margin.
The management and ALPA desperate prayer was for the AA pilots to ratify the LBFO. If that had occurred the MEC would have been cajoled, begged, threatened and intimidated to ratify an Agreement, without a pilot vote.
When the AA pilots overwhelmingly rejected management's LBFO, neither document was valid and the so-called ALPA/management AIP was hastily agreed to as a "face-saving" mechanism before everyone quickly, like thieves, vacated the scene of the crime.
What was done in Washington could have been done in Dallas. Why was the MEC sequestered in Washington D.C.?
Sequestering the MEC is an old ALPA/management attempt at coercion, intimidation and threat. It was used in 1997 to force through Letter 3, which has failed the American Eagle pilots miserably, and the 16-year Agreement, which is still failing the American Eagle pilots.
Do not allow ALPA and management to convince you that the latest document produced by them is a comparison of the Section 1113 Term Sheet and the latest and greatest AIP.
It is not a Term Sheet unless management is prepared to file it in Court, or files it in Court. What you have in front of you is a comparison between management's wish list and what management and ALPA believe is the lowest offer the pilots may accept.
Pilots voting "NO"
on the AIP or TA will not affect the Pilot Agreement in any way whatsoever; MANAGEMENT HAS NOT FILED A SECTION 1113 WITH THE BANKRUPTCY COURT
so what ALPA and management are attempting to do is frighten the American Eagle pilots into voting "yes" on the AIP or TA insinuating that a "NO"
vote will cause Judge Lane to void the pilot contact.
THIS IS A LIE,
management must first file a Section 1113 motion in Court before the Judge has any jurisdiction to change the pilot agreement.
If and when management files a Section 1113 motion, the Court will then order negotiations. Read the U.S.Bankruptcy Code carefully, do not listen to ALPA and management and the scare tactics.
The so-called "AIP" is nothing more or less than an insult to every pilot here. Due to ALPA's demonstrated inability to represent - much less fight for - American Eagle pilots, management has put forward it's best straight-face, one-sided "deal". Management knows this "AIP" is unacceptable to the pilots, but loses nothing by blowing it past an inept, ignorant and weak union, with the hope that pilots here will feel so fortunate to continue their American Eagle "career" for another 8 years that they will vote "YES".
The AEPA will publish a more comprehensive document critiquing the so-called AIP. Keep in mind that the AIP will continually change as ALPA and management attempt to gauge the pilot resolve or weakness. Cosmetic changes will be trumpeted by ALPA as the MEC negotiators doing a tremendous job and reducing the "negative" impact of management's Section 1113 Term Sheet.
Do not be fooled, if pilots show resolve and let ALPA know that the AIP is unacceptable, the AIP will continually change. If pilots weaken, management will demand bigger concessions and more "give-backs". Management has no respect for ALPA and uses ALPA as a blunt tool in its attempt to bludgeon the pilots.
ALPA is blowing its horn because the pay reductions and longevity adjustments were removed from the so-called management 1113 term sheets. Do not believe a word of it. The Bankruptcy Code requires that all sacrifice must be "fair and equitable" and be comparable to the industry peer groups.
The pay reductions and longevity adjustments did not comply with the bankruptcy code and that is why the removal. Senior pilots cannot be required to accept pay cuts and First Officers not; same for longevity adjustments.
For the moment, before too many of you swallow the ALPA/management garbage consider the following.
1. An 8 year agreement?
Why would the American Eagle pilots lock themselves into an 8 year agreement just prior to an unprecedented pilot shortage? Same comment for a 6 year agreement. Do not allow ALPA to tell you "well every other union is agreeing to long term contracts." The American Eagle pilots are not "every other union" and the AE pilots gave management a 16 year contract which every other union never agreed to and which management squandered leaving the Company in bankruptcy after 15 years of the 16 year agreement. Do not fall for the 8 year agreement with job protection or a 6 year agreement with no job protection.
There is no job protection. AA will be taken over, more than likely, by US Airways and the AIP contains no successorship or merger protection language when AA is acquired by another carrier.
2. Where is the American Eagle Business Plan?
What is the 2 year, 5 year and 10 year plan for American Eagle Airlines.
ALPA and management believe the American Eagle pilots are required to take a leap of faith and just blindly trust them with no published business plan.
3. Fleet Plan?
How can anyone negotiate wages, work rules, job protection, scope and successorship without knowing the 2, 5 and 10 year fleet plan?
4. Job Protection?
The only job protection mentioned in the AIP is furlough protection. That is not job protection, it is just one minor element of job protection, and is apparently based on an AA determined fleet plan that AE pilots are not even allowed to read.
If AE furlough protection is based on the AA fleet plan for AE, and AE owns no aircraft, how can there be furlough protection? If AA has the ability to change the number and type of aircraft at AE does the number of AE pilots furlough protected change with fleet changes?
If American Eagle is to take delivery of new aircraft and expand, why is the MEC focused on furlough protection as the only job protection in the AIP?
It was reported to the AEPA that American Eagle Vice-President of Flight, Jim Winkley, in Washington D.C. waiting for a departure flight, told a pilot that American Eagle would be acquiring 19 more CRJ 700 aircraft.
It has also been reported to the AEPA that Perry Mize, the CRJ Fleet Manager, has advised pilots in numerous ground school classes that AE would be acquiring CRJ 900 aircraft.
The AEPA suggests pilots ask their Domicile Chief Pilots why American Eagle has not made a public announcement that the airline will shortly be acquiring more CRJ 700 aircraft and a new fleet of CRJ 900 aircraft. It cannot be confidential if Jim Winkley and Perry Mize are openly discussing the deployment of new CRJ aircraft.
There is no Scope Protection in the AIP. Do not be fooled. The AIP Scope is just smoke and mirrors.
American Eagle Airlines is an airline without any aircraft. ALPA allowed management to transfer every single American Eagle aircraft to AA without securing any job protection for the AE pilots which removes all scope protection. Pilot Agreements always require that Company aircraft will be flown by pilots on the Company Pilot System Seniority List. Without company aircraft pilots become nothing more than cheap contract labor flying contract aircraft at the whim of the contracting airline or aircraft owners.
The AIP contains the following statement: "Company agreement to use best efforts to obtain employment with other carriers if Eagle pilots are furloughed as a result of asset sales."
"if Eagle pilots are furloughed as a result of asset sales"?
What happened to furlough protection and what constitutes the Company's best efforts. In 1997 the Company promised every American Eagle pilot on the property would be at American Airlines in 5 years. That was a simple internal transfer and management could not get that right and now management will use its best efforts. The AEPA is sure that will work much better than Letter 3.
If AA is acquired by USAirways, is that an asset sale? AA owns every aircraft previously owned by American Eagle.
6. PBS (Preferential Bidding System)
Pilots need to understand that preferential bidding really means what management prefers the pilots bid which can be changed continuously throughout the month. Reassignments and extensions can be built into the PBS parameters so crew members (pilots and flight attendants) are re-assigned when the "In Range" advisory is sent.
PBS was designed for the benefit of the airlines and airline management, and not for the benefit of the flight crews.
Pilots need to advise ALPA that any mention of PBS, without extensive, definitive and complete descriptive language will illicit an immediate "NO"
American Eagle management is untrustworthy and pilots should not be fooled into thinking a LOI is just a mere "intention", it is not. If the TA includes a LOI on PBS, an arbitrator will enforce PBS without pilot veto.
Why is there no mention of successorship rights in the AIP.
Without successorship language, every agreement becomes null and void on sale/divestiture/spin-off. If American Eagle Airlines were to be sold or divested the 824 Letter of Agreement would become null and void. Any new "flow-through" agreement would likewise be null and void. The promise made to Eagle Rights pilots that AE would not only survive but would expand, would be rendered null and void.
Any one of the above (1 - 7), should make every American Eagle pilot vote "NO"
. Forget about the fluffy stuff like "upgrading a jumpseat rider", all of that fluff will disappear in a sale/divestiture/spin-off with no contractual successorship rights.
If the AIP was reasonable and fair to the American Eagle pilots, even during the bankruptcy, it would not be necessary to threaten the American Eagle pilots.
It has been reported to the AEPA that ALPA MEC member and MIA Council Representative Peter Wallace has told American Eagle pilots that if the pilots do not agree to the Tentative Agreement (derived from the AIP) management has stated that it will "liquidate" American Eagle Airlines.
As the AEPA has previously stated, when ALPA and management determine that the American Eagle pilots will not roll over or bend over, the threats and intimidation will begin. MIA ALPA Representative Peter Wallace has already begun to threaten the American Eagle pilots.
To put pilot costs at American Eagle Airlines into perspective, consider the following. The DOT (Department of Transportation) reported that American Eagle Airlines' ASM (Available Seat Mile) cost for the 3rd quarter of 2011 (immediately preceding bankruptcy) was $00.182 cents.
The ASM cost (wages, retirement, health insurance and benefits) of the most senior cockpit crew in a CRJ at American Eagle Airlines is $00.006 cents.
The cockpit cost, as a percentage of ASM cost, at American Eagle, is 3% - a very low percentage of ASM cost.
For the 3rd quarter of 2011 (immediately proceeding bankruptcy) the DOT reported that American Eagle Airlines' RASM (revenue per available seat mile) was $00.192 cents generating 29 million dollars ($29) in profit for American Eagle Airlines.
Why would management steal 25 cents in per-diem from the pilots, especially from First Officers. It is unnecessary and iniquitous.
Why would management even try and steal 25 cents per diem from low paid pilots - because the pilots are represented by a weak, corrupt and worthless union.
ALPA is the reason management would attempt to extort money from the pilots using the AA bankruptcy, as an excuse, when American Eagle Airlines is profitable. Remember the Form 10 filed just prior to bankruptcy with the SEC to divest American Eagle from AMR? In that document management declared that American Eagle was a profitable stand-alone airline and able to secure capacity purchase or pro-rate agreements to feed other airlines.
Why is a profitable airline demanding money and concessions from labor? Because of a weak union.
DO NOT BE FOOLED!
Please circulate the above message to every American Eagle pilot on your email list or advise them to read Aepa - Front Page. Thank You.