Originally Posted by
iahflyr
So we expect a 10% operating margin. If we end up with a 9.9% operating margin, it doesn’t count as one of the 4 quarters we need to get the 5% raise??
So when might we actually get that 5% raise? We have had zero profitable quarters so far. So the earliest would be late April 2023. But realistically, we aren’t going to hit 10% profit margin in several upcoming quarters, especially 4Q22 and 1Q23. I’m thinking it could be late January 2024 (or later) before we even see this 5% raise.
Bird in hand…
The first time after October 1, 2020 that the Company reports a pre-tax margin that meets or exceeds five percent (5%) (measured using the same methodology for calculating pre-tax margin as the profit-sharing calculation) over any twelve (12) month period that consists of four (4) consecutive full financial quarters, the hourly rates for Captain and First Officers shall be the "Captain Pay Rates on January 1, 2019" and the "First Officer Pay Rates on January 1, 2019" increased by five percent (5%).
It’s an average over 4 qtrs. 10% or 9.9% means nothing other than it raises the overall average for the 12 month period thereby making it easier to hit the magic 5% number.
The bird is already in our hand without gutting our contract QOWL with this concessionary TA.