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Old 02-27-2014 | 03:45 PM
  #45  
madeinUSA
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Originally Posted by CBreezy
That statement doesn't make sense. I'm pretty sure mainline holds titles on a bunch of the RJs in service right now. Plus, you think a mainline pilot union would allow their pilots to fly on aircraft that are maintained outside of the airline's control? The only discount the mainline gets is on labor. The leases have to be covered somehow, the insurance paid, the crews trainined. These are all fixed costs. Of course, you could argue that the maintenance is less acceptable but it is acceptable enough for FAA certification. In that case, there is still a fixed price on parts. If anything, one could argue that places like American could get deals with suppliers for bulk orders of parts because they own hundreds of jets versus tens.
I wonder at what point it becomes more effective for mainline to fly their own regional jets. All of the additional cost that goes into having a separate company (CEO, Payroll, HR, Maint, Dispatch, building leases, insurance, and so on) make me wonder if our wages were to only increase by a small margin if they would no longer contract out. Unless it has more to do with liability? Endeavor is using a lot of Delta resources to lower cost and with a concessionary contract in place for the next six years, plus attrition of 40-50 pilots off the top per month it will be dirt cheap to operate. If they can find the pilots. I don't see separate entities surviving unless there is massive consolidation to make it economically viable.
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