Delta-Aero Mexico JV lost hours
01-11-2019 | 03:54 PM
#41
Gets Weekends Off
Joined: May 2011
Posts: 275
Likes: 0
Exactly. Part of the arbitration process that's screwed up. It would be different if past history of company breaching contract(s) weighed in on the penalty side. Company would think twice if penalty was 200% of profits for blatant disregard of our PWA. Instead it's usually 10 to 20 percent. Total incentive for company to say who gives a sh@t and do it, business is business.
01-12-2019 | 04:37 AM
#42
Can't abide NAI
Joined: Jun 2007
Posts: 12,078
Likes: 15
From: Douglas Aerospace post production Flight Test & Work Around Engineering bulletin dissembler
Exactly. Part of the arbitration process that's screwed up. It would be different if past history of company breaching contract(s) weighed in on the penalty side. Company would think twice if penalty was 200% of profits for blatant disregard of our PWA. Instead it's usually 10 to 20 percent. Total incentive for company to say who gives a sh@t and do it, business is business.
Now isn't the time to be replacing Contract Admin Chairmen. Much like Scope Chairmen, we have had two in two weeks. We need to simply hire good folks and let theim do their work without judging a person's abilities by their Facebook posts
01-12-2019 | 06:11 AM
#43
Gets Weekends Off
Joined: Dec 2009
Posts: 2,058
Likes: 2
From: Capt
What experience did said Chairman have in contract admin?
01-12-2019 | 06:20 AM
#44
Can't abide NAI
Joined: Jun 2007
Posts: 12,078
Likes: 15
From: Douglas Aerospace post production Flight Test & Work Around Engineering bulletin dissembler
One had about a decade running the committee with a team. I don't know his total recovery for Delta pilots, but it was probably more than $45m.
He was replaced with an attorney who I do not know. Chit Chat forum complained that he was not supportive of their demand for retirement negotiations (which is an entirely unrelated opinion to contract enforcement) so the MEC booted him in less than a week. Even after he apologized and stated he had considered more information and regretted posting his opinion (or something like that)
It appears to me we let political opinions out weigh a person's ability to do a job. I don't care if a pilot has a political opinion as long as he (or she) can fly an airplane. We should simply pick the best person who delivers the best product to the pilot group.
Product > Politics
He was replaced with an attorney who I do not know. Chit Chat forum complained that he was not supportive of their demand for retirement negotiations (which is an entirely unrelated opinion to contract enforcement) so the MEC booted him in less than a week. Even after he apologized and stated he had considered more information and regretted posting his opinion (or something like that)
It appears to me we let political opinions out weigh a person's ability to do a job. I don't care if a pilot has a political opinion as long as he (or she) can fly an airplane. We should simply pick the best person who delivers the best product to the pilot group.
Product > Politics
Last edited by Bucking Bar; 01-12-2019 at 06:32 AM.
01-12-2019 | 06:29 AM
#45
Racketeer
Joined: Mar 2015
Posts: 13,339
Likes: 829
From: N60.4858 W149.9327
The Aeromexico investment was definitely not a mistake. They (we) own half of the dominant Latin carrier and what amount to a country's flag carrier. People will fly them without ever considering their Delta affiliation. This is about global consolidation, not just 1 JV.
01-12-2019 | 06:32 AM
#46
Can't abide NAI
Joined: Jun 2007
Posts: 12,078
Likes: 15
From: Douglas Aerospace post production Flight Test & Work Around Engineering bulletin dissembler
The Aeromexico investment was definitely not a mistake. They (we) own half of the dominant Latin carrier and what amount to a country's flag carrier. People will fly them without ever considering their Delta affiliation. This is about global consolidation, not just 1 JV.
We were 11%, American was 25%, United 14% and Aeromexico 15% of the US Mexico transborder market. Nobody had heard of us outside of the beach markets and a little Mexico City.
We bought first place and as the leader, can set the price point.
We are in this for the long game.
01-12-2019 | 06:37 AM
#47
Gets Weekends Off
Joined: Feb 2008
Posts: 20,880
Likes: 194
The Aeromexico investment was definitely not a mistake. They (we) own half of the dominant Latin carrier and what amount to a country's flag carrier. People will fly them without ever considering their Delta affiliation. This is about global consolidation, not just 1 JV.
01-12-2019 | 06:56 AM
#48
Racketeer
Joined: Mar 2015
Posts: 13,339
Likes: 829
From: N60.4858 W149.9327
I think Mexico will always have a "national" airline. We owned a significant portion of GOL through Brazil's most difficult time, to emerge with a completely rebuilt airline that will soon be able to be owned (49%) by international investors.
01-12-2019 | 07:11 AM
#49
Gets Weekends Off
Joined: Feb 2008
Posts: 20,880
Likes: 194
I agree, however if they reorganize yet again what does that leave Delta?
01-12-2019 | 07:16 AM
#50
Racketeer
Joined: Mar 2015
Posts: 13,339
Likes: 829
From: N60.4858 W149.9327
When GOL was close to reorganization they injected debt along with equity. They could do the same and be considered a major creditor and end up with the same control with clean books and lower costs. That might be an even better result.
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