How is the operation running?
09-25-2012 | 12:35 PM
#141
Fun Officer
Joined: Feb 2005
Posts: 515
Likes: 0
From: Dallas, Texas
American Airlines = Eastern?
latest poop from today's Dallas Morning News:
Senior aerospace analyst Ray Neidl, who’s been around long enough to remember these things, wondered out loud Tuesday whether the American Airlines standoff with pilots is following the path of the Eastern Air Lines’ flight with its unions.
Or, in Neidl’s words in a report out Tuesday from his firm, Maxim Group:
“The dispute with the pilots recalls how the pilots at Eastern Airlines killed the already weakened airline two decades ago in a labor dispute. The unions led by the pilots have strongly indicated that they do not wish to work with the AMR management, which is of concern to begin with. As a result the dispute here seems to now be going beyond economic considerations to the emotional level, which is always dangerous since rationality for all parties can become secondary as was in the case of Eastern.
“Although we do not believe conditions at AMR have reached anywhere near this level as yet, we do remain concerned that it could escalate in what is a weak economy and if not resolved could lead to a possible further weakening and eventual liquidation of the company. US Airways and other airlines could then pick up parts of the company by buying various assets that had value but not necessarily guaranteeing jobs for AMR employees.”
Eastern shut down its operations in January 1991 after a long period of management-labor strife highlighted by strikes by mechanics, pilots and flight attendants that began in March 1989. Eastern had filed for bankruptcy court protection shortly after the strikes began.
Neidl called the pilots “the most important single labor group and an agreement with them is important. We were surprised that the membership voted down the contract offer since it included a large equity offering.”
He said American’s operational problem “appears to be individual pilot actions of calling in sick or increasing reports of maintenance deficiencies forcing flight delays or cancelations. The pilots union has been strong in its statements saying that this was no organized job action, which is illegal, but never-the-less it has caused temporary inconvenience for customers. We believe that any job actions organized or otherwise, hurt the company in the short-term if it continues.”
Or, in Neidl’s words in a report out Tuesday from his firm, Maxim Group:
“The dispute with the pilots recalls how the pilots at Eastern Airlines killed the already weakened airline two decades ago in a labor dispute. The unions led by the pilots have strongly indicated that they do not wish to work with the AMR management, which is of concern to begin with. As a result the dispute here seems to now be going beyond economic considerations to the emotional level, which is always dangerous since rationality for all parties can become secondary as was in the case of Eastern.
“Although we do not believe conditions at AMR have reached anywhere near this level as yet, we do remain concerned that it could escalate in what is a weak economy and if not resolved could lead to a possible further weakening and eventual liquidation of the company. US Airways and other airlines could then pick up parts of the company by buying various assets that had value but not necessarily guaranteeing jobs for AMR employees.”
Eastern shut down its operations in January 1991 after a long period of management-labor strife highlighted by strikes by mechanics, pilots and flight attendants that began in March 1989. Eastern had filed for bankruptcy court protection shortly after the strikes began.
Neidl called the pilots “the most important single labor group and an agreement with them is important. We were surprised that the membership voted down the contract offer since it included a large equity offering.”
He said American’s operational problem “appears to be individual pilot actions of calling in sick or increasing reports of maintenance deficiencies forcing flight delays or cancelations. The pilots union has been strong in its statements saying that this was no organized job action, which is illegal, but never-the-less it has caused temporary inconvenience for customers. We believe that any job actions organized or otherwise, hurt the company in the short-term if it continues.”
09-26-2012 | 05:59 AM
#142
Gets Weekends Off
Joined: Jul 2012
Posts: 737
Likes: 0
Had a bit of a chuckle on my last trip...
Pulled up my company email. One of the messages was (paraphrased)
"Due to limited manning in your division, the company is activating section 12, paragraph B, subitem 1.A, of the contract, which authorizes premium pay for flying on days off. If you are intersted in flying blah blah blah."
Actually TWO huge laughs. The small laugh was "Do they really expect people to be available for premium flying?" But the bigger laugh was "WHAT CONTRACT? There IS NO CONTRACT any more. You guys flushed it down the toilet!"
Pulled up my company email. One of the messages was (paraphrased)
"Due to limited manning in your division, the company is activating section 12, paragraph B, subitem 1.A, of the contract, which authorizes premium pay for flying on days off. If you are intersted in flying blah blah blah."
Actually TWO huge laughs. The small laugh was "Do they really expect people to be available for premium flying?" But the bigger laugh was "WHAT CONTRACT? There IS NO CONTRACT any more. You guys flushed it down the toilet!"
09-26-2012 | 07:03 AM
#143
Gets Weekends Off
Joined: Jul 2008
Posts: 406
Likes: 0
From: back in the right
Seems like a good article to scare some of those in Dallas with money tied up in AMR. I don't care who they blame for the problematic, what they will see is the current management is unable to run the airline. That is the stuff that gets management replaced.
09-26-2012 | 07:03 AM
#144
Gets Weekends Off
Joined: Oct 2006
Posts: 945
Likes: 0
Had a bit of a chuckle on my last trip...
Pulled up my company email. One of the messages was (paraphrased)
"Due to limited manning in your division, the company is activating section 12, paragraph B, subitem 1.A, of the contract, which authorizes premium pay for flying on days off. If you are intersted in flying blah blah blah."
Pulled up my company email. One of the messages was (paraphrased)
"Due to limited manning in your division, the company is activating section 12, paragraph B, subitem 1.A, of the contract, which authorizes premium pay for flying on days off. If you are intersted in flying blah blah blah."
09-30-2012 | 06:23 AM
#147
Gets Weekends Off
Joined: Sep 2007
Posts: 1,518
Likes: 0
From: B737 CA
Company should have thought about that before they raped the pilots. There is a very easy way out of this mess: come to a fair agreement with the pilots. But AA's current management won't do it, out of sheer pride and stubbornness. You're writing them telling them "no customers no airline"...aren't you? 
09-30-2012 | 07:34 AM
#149
Gets Weekends Off
Joined: Jul 2012
Posts: 737
Likes: 0
Pilots, followed closely by mechanics, are the only groups that cannot be replaced in a few weeks. We could replace Horton and all the VP's with eager you MBA's at 1/50th the salary. They'd be ecstatic to have a good job and be able to move out of their parents' basement; AND, they'd probably do as good or better a job.
We DO have leverage. Unfortanately, it is emasculated via the RLA.
I need to examine RLA history a bit close. I suspect I'll find it was written and ramrodded by corporate elite, frustrated by evil unions seking to get a fair share of the $$ that results from their hard labor. The RLA is legalized pickpocketing. Management goes from $38,500.000, picks thousands of pockets of $10K, $20K, and now thier pockets bulge with $45,000,000, and thousands of hard working union people end up with zero, on the street.
We DO have leverage. Unfortanately, it is emasculated via the RLA.
I need to examine RLA history a bit close. I suspect I'll find it was written and ramrodded by corporate elite, frustrated by evil unions seking to get a fair share of the $$ that results from their hard labor. The RLA is legalized pickpocketing. Management goes from $38,500.000, picks thousands of pockets of $10K, $20K, and now thier pockets bulge with $45,000,000, and thousands of hard working union people end up with zero, on the street.
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