Originally Posted by
acl65pilot
The reality is Parker just opened himself up to asinine costs. RA could literally jack our rates so high that they fail on those costs alone. Dumb move for parker given where DAL is heading and our ability to actually pay and afford that level of raise.
The fact remains that even as a combined carrier, there is a ton of rationalization that needs to occur to make them a successful airline.
I often wonder if this is just APA's version of Texas Holdem with Horton. APA now has an out, even though it will be an ugly process.
I see the company wanting to reduce the DC by a point or two and adding it into the rates to jack up the AA costs higher, (we would be able to add it back into the 401k if we wanted) but it puts more pressure on the new AMR.
Also if the term sheet does get out and the details are released, expect the company to want to focus any and all improvements on the "me too" sections of the AMR deal, so that it will put on the greatest amount of burden possible.
So we might see a push for direct increase of rates to offset the miserable "training pay" that we get now instead of upping the CD rom pay credit. little/no increase to daily pay, vacation pay staying at 3:00/day(increasing vaca pay by 1:00/day is worth around 0.7% of a yearly rate raise PER WEEK of accured vacation), etc.
Just watch for things like that....
Would the AMR deal put a FULL VOTING pilot union member on the new AMR?
Would they get 5% equity stake in the new company?
Scope proposal could be atrocious....
I think DAL will hold off on a "final offer" until they know the result of Parker's attempt.
What a crazy turn of events...