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Old 04-24-2020 | 02:37 PM
  #43  
Flymeaway
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Originally Posted by rickair7777
Airlines won't agree to reduced MMG long-term, due to per capita overhead costs as you mentioned. Best you can hope for is rules about no OT/premium pay with furloughs out.
Reducing MMG can significantly reduce labor costs to the company. There's a cost of overhead+unused MMG vs cost of downgrade+retraining. There's an argument to be made that if the expected demand reduction isn't expected to be super long term, then reducing MMG a bit can tilt that equation towards keeping more pilots. If it is going to be very long term, then the company will furlough and the reduced MMG may be a factor for reserves, so a month to month or snapback timeline is appropriate.
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