Originally Posted by
Nevets
As far as XJT contract provisions that "seriously limit the company," unless you think that having one seniority list seriously limits the company, there isn't anything in there that would. But if SKW got what they wanted they would be able to transfer aircraft without pilots and in essence would strip "its crews to then rehire them at first year pay and seniority." You are right though that the XJT pilots would do that to themselves if they let SKW get what they want without offering any protections and assurances. Remember, the CAL letter left the door open for XJT to come to terms with them if they provide the savings on the "magnitude" that SKW is offering.
It really does come down to SKW not wanting a certain labor group to organize. For all the talk that SKW treats their employees well but yet they are against wanting them to have a basic right to organize.
The pilots are open to SKW buying XJT out. But the deal has to be right. If it is not, I think they will rather have XJT management make their own deal with CAL instead. Like I said, the letter left that door open. This is just CAL's way of using SKW to whipsaw XJT into coming to terms to the savings on the "magnitude" that SKW is offering. Its a negotiating tactic. CAL wins either way.
Your management cannot have its way like they legally can with its "at-will" employees. They are required to bargain with us, per the RLA, if they want certain things removed from our contract. If the XJT MEC comes to an agreement on those terms, the pilots would be required to ratify the agreement. There is no legal way for SKW management to "have their way with" us.
I think this whole thing is really more about CAL not wanting to pay XJET a relatively high guaranteed profit margin.
If SKW comes in with a new agreement, fine by CAL. If XJET stands alone, they will either need to negotiate a new contract with CAL, or lose flying (probably all of it eventually).
Labor is not the big issue in this deal, but there are a few concerns...
JA is not likely to agree to any deal which would force-integrate the SKW pilots into a union pilot group. It goes against the grain of the company, and it would be quite hypocritical after all the effort they put into squashing alpa last year.
But what Tony said is probably true. SKW will likely get the CAL flying...either by buying XJET under terms acceptable to both parties, or by picking up the pieces after CAL terminates the XJET contract.
The other possibility is that XJET management will voluntarily reduce their contract margins to keep the CAL flying. But will your management cheerfully eat that lost margin...or will they come looking to labor to make up the difference?
My suggestion to the XJET folks would be to make a deal with Jerry. You can probably keep your compensation package and your flying that way, which is not a bad deal in today's regional market. This is alltruistic advice, it will not benefit me to have XJET part of SKW. Actually I would likely benefit more if XJET were left alone to be disassembled by CAL since the SKW group would probably gain flying.
I don't think JA wants contractual freedom to remove your flying, I think he simply wants to avoid a pilot list integration.
I won't say that there was zero whipsaw with the ASA purchase, but in the grand scheme of things there wasn't much and both groups now have essentially equal compensation. Also it would be MUCH harder to whipsaw XJET because of the CAL scope...SKW would need a new certificate to whipsaw you guys because ASA and SKW both operate 70+ seaters.