Originally Posted by
unclenobby
Your assumption that you need to pay employees less to see more return is over simplified. Plus the fact that most people who own the stock probably don't even realize it, they are just part of a large pension or mutual fund.
The truth is an employee is as much or more of a stake holder in the company than a shareholder of the company. Concessions is just for the largest singular shareholders (top level brass) to cash in on their stock, options etc. All the folks invested via large funds will see pennies if that. It's a wealth transfer plain and simple.
No, I never said they need to pay less to see better returns. But it does add to the bottom line. Pilot compensation is a very small piece of company expenses. I never once implied pilots or other employee groups should take cuts to buy planes. But to say they don't have fiduciary responsibility is not understanding the meaning of it.
Secondly, regarding public vs. private:
American Airlines Group Inc - AAL - Stock Quotes
"American Airlines Group Inc., formerly AMR Corporation, operates in the airline industry. The Company's principal subsidiary is American Airlines, Inc. (American). As of December 31, 2011, American provided scheduled jet service to approximately 160 destinations throughout North America, the Caribbean, Latin America, Europe and Asia. AMR Eagle Holding Corporation (AMR Eagle), a wholly owned subsidiary of the Company, owns two regional airlines, which do business as American Eagle-American Eagle Airlines, Inc. and Executive Airlines, Inc. (collectively, the American Eagle carriers). American also contracts with an independently owned regional airline, which does business as AmericanConnection (the AmericanConnection carrier). As of December 31, 2011, AMR Eagle operated approximately 1,500 daily departures, offering scheduled passenger service to over 175 destinations in North America, Mexico and the Caribbean."