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Old 07-02-2012, 08:12 AM   #1  
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Default AA TA - Industry Rate Comparables (DOS+36)

I just ran some quick numbers, so correct me if errors are found.

12 - Year Captain (737-800 or A-320, whichever fleet number is greater)

Delta $210 (New contract)
Continental $150 (Current contract)
United $137 (Current contract)
America West $138 (Current contract)
US Airways $125 (Current contract)

Total = $760 / 5 = $152

American $174.46 (New contract) resets to $152 or a 13% paycut.

That paycut then is applied across all categories of hourly pay.

I would, however, assume that United and Continental will have a new contract that would diminish the paycut. With that said, even if United matches Delta 737-800 12-year Captain pay, it would still result in a small paycut across the board for AA.
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Old 07-02-2012, 08:21 AM   #2  
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I have to plead ignorance on this one. Did AA have that as the calculation for their pay in their new TA? If you're just making a hypothetical calculation... I would argue that Southwest, Alaska, and jetBlue should also be included, as well as FedEx and UPS.

Additionally, there is potential for CO/UA and HP/US to have new contracts by the end of 2015, hopefully with significant pay raises.
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Old 07-02-2012, 08:28 AM   #3  
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Originally Posted by lolwut View Post
I have to plead ignorance on this one. Did AA have that as the calculation for their pay in their new TA? If you're just making a hypothetical calculation... I would argue that Southwest, Alaska, and jetBlue should also be included, as well as FedEx and UPS.

Additionally, there is potential for CO/UA and HP/US to have new contracts by the end of 2015, hopefully with significant pay raises.
AMR made this part of their "Last, Best and Final Offer to the Allied Pilots Association".

As the APA has explained, this agreement would limit their down-side risk exposure. I would tend to agree. At least AMR could not void their current contract through bankruptcy and it still leaves the door open for a US Airways, AMR tie-up which I think would be a better contract and most certainly, a stronger company.
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Old 07-02-2012, 08:53 AM   #4  
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Quote:
Originally Posted by JonnyKnoxville View Post
I just ran some quick numbers, so correct me if errors are found.

12 - Year Captain (737-800 or A-320, whichever fleet number is greater)

Delta $210 (New contract)
Continental $150 (Current contract)
United $137 (Current contract)
America West $138 (Current contract)
US Airways $125 (Current contract)

Total = $760 / 5 = $152

American $174.46 (New contract) resets to $152 or a 13% paycut.

That paycut then is applied across all categories of hourly pay.

I would, however, assume that United and Continental will have a new contract that would diminish the paycut. With that said, even if United matches Delta 737-800 12-year Captain pay, it would still result in a small paycut across the board for AA.
It's the greater of 2% or the industry avg adjustment at dos + 36.
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Old 07-02-2012, 09:13 AM   #5  
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It's the greater of 2% or the industry avg adjustment at dos + 36.
That was a major oversight on my part. Thanks for pointing that out.
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Old 07-02-2012, 10:12 AM   #6  
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.......At least AMR could not void their current contract through bankruptcy.......
Not necessarily true. AMR CAN do this if, "there is a material deterioration in the company's financial condition or financial PROSPECTS, whether because of general economic conditions or OTHERWISE." This is a subjective standard determined SOLELY by the debtors (AMR). APA has no rights other then to object. AMR has stated they don't anticipate profits for several years, so any time during the remainder of the C11 period they can go back if they deem the competitive landscape less then desirable, AKA their "financial prospects".

Many of the so-called "improvements" in the TA have a "wiggle exit" for AMR, due to either ambiguous language or flat-out statements like the above.

Caveat Emptor.
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Old 07-02-2012, 10:34 AM   #7  
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It should be no surprise that it is not a good contract. I can not think of any aviation labor group in recent history who has come out of bankruptcy with a status quo contract or made contractual gains. This situation is no different.

My feeling is that US Airways is your best option. If AMR manages to fight them off, you guys will have to live under this horrible contract, or worse, no contract at all.

If US Airways is successful, the NEW American will be stronger, more stable, and provide for more economic gains for the pilot group in the future.

I do not envy the postiion that the American pilot group is in and the tough choices that must be made.

Good Luck!
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Old 07-02-2012, 11:40 AM   #8  
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America west is at $144
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Old 07-02-2012, 11:55 AM   #9  
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America west is at $144


The 12-year Captain rate on the 737 / A-320 for America West is $138 according to this:

Airline Pilot Central - US Airways | Legacy

Maybe you need to make an update.
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Old 07-02-2012, 02:06 PM   #10  
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Originally Posted by JonnyKnoxville View Post
The 12-year Captain rate on the 737 / A-320 for America West is $138 according to this:

Airline Pilot Central - US Airways | Legacy

Maybe you need to make an update.
That's wrong, $144 is correct
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