Originally Posted by
David Puddy
What do you expect start ups to pay right off the bat? JB or Delta wages? If Breeze doesn’t pay JB level wages in 3-5 years they will lose pilots. How about you give them a chance to start up with their A220 operation successfully before you expect Delta wages? I recall how JB paid very low wages when they started but things eventually turned around when the cash flow supported it.
Folks it takes a little while for most startups (regardless of industry) to pay industry averages - that’s why many startups offer stock options to bridge the initial difference. Cash flow matters a lot at the beginning as you are trying to prove yourself and your business model.
That’s just it. They aren’t offering stock options. Or profit sharing (they eliminated it in exchange for their raise). Also, B6 started in a different time. Not everyone was hiring. There were furloughs. Etc. So guys going to jetblue didn’t have a ton of options, so it’s a little harder to blame them at that point. That problem doesn’t exist now. Plenty of options out there hiring like crazy.
And I have to laugh at your “if they don’t pay jetblue wages in 3-5 years they will lose pilots.” They already are losing pilots, and will continue to do so. As is jetblue.
I don’t expect delta wages for a start up. But with these crap rates, especially when you factor in their 4% 401k match compared to most majors paying 16% and profit sharing, there needs to be something else like stock options. There isn’t. Just shiny jet syndrome and a low seniority number…and low wages…which is subsidizing their low fares and rapid growth.