Originally Posted by
John Carr
I'd consider that to be a valid statement.
But the argument could be made that UAL and DAL's pre 9/11 compensation levels weren't sustainable. AA and NW were next in line for contracts. USAir used a "parity +" method. Even before 9/11, UAL's CFO was quoted that with downturn the economy was taking in 2001 that they'd be "getting some of that money back". Meaning, UAL would probably be asking for concessions down the road.
The new DAL and UAL pay rates aren't much more than their concessionary pay scales adjusted for inflation. And they pale in comparison to pre 9/11 numbers.
But I'd say sulkair's post pretty much summed it up in a nut shell. And ALPA national/Lee Moak's stance ISN'T going to help any.
I would argue that executive compensation industry wide is unsustainable.