Go Back  Airline Pilot Central Forums > Airline Pilot Forums > Major > Delta
Any "Latest & Greatest" about Delta? >

Any "Latest & Greatest" about Delta?

Search
Notices

Any "Latest & Greatest" about Delta?

Thread Tools
 
Search this Thread
 
Old 06-30-2014, 01:48 PM
  #161451  
Can't abide NAI
 
Bucking Bar's Avatar
 
Joined APC: Jun 2007
Position: Douglas Aerospace post production Flight Test & Work Around Engineering bulletin dissembler
Posts: 11,990
Default

Originally Posted by alfaromeo View Post
Without any comment on the wisdom of pay banding, at least the discussion should center around the facts rather than wild speculation.

If you want to figure out the productivity gains from pay banding you would start with the average number of non-new hire pilots that are in the upgrade training pipeline (from initial academics through IOE completion) on any given day. Continuing qualification training would not count as that would stay unchanged with pay banding.

You would use a daily average because we have training starting and ending each day of the month and a variable amount of crews are in training in any one day. You would exclude new hires because no matter what the pay structure is, you will have to give them training when they get hired.

My guess is the daily average is in the 100-150 pilot range. It was lower before but training has been going up lately. Maybe someone with training center connections has a better number.

For the sake of discussion, let's use 150. If you go to pay banding, you will not be able to eliminate all training, because pilots will still jump between bands and from first officer to Captain. Let's estimate that we would save 1/3 of training by going to pay banding. That means you would save on average 50 pilots per year from pay banding.

If you try to say it's 1800 pilots, that means you would estimate that there are 5400 pilots in training at any one time, again assuming you save 1/3 of the training events. Even if you predict you will save 100% of training events (an impossibility unless you lock every new hire into one seat, including Captain seats, and keep them there until retirement) you would need to average 1800 pilots a day in training to save 1800 jobs. In other words, every Delta pilot would change jobs in 12 months or less. That does not seem plausible.

Attack away, but at least attack with facts not wild hyperbole.
Thank you for popping up on frequency for this topic. My concerns are more along the lines of:
  • How would pay banding effect us in a category and status merger?
  • What are the effects on top line scope of pay banding (JV negotiations)?
  • What are the effects on small jet (permitted flying arrangements) as a result of pay banding?
  • What is our competitive environment? What are other airlines doing?
IMHO now may be the time to get the maximum benefit from this kind of change because we know management is having a training problem. During a down turn pay banding delivers nothing.

What are your preliminary thoughts on pay banding's effects on mergers and scope negotiations? If we combined pay banding with scope recapture, I could be sold on the idea.

Back of the napkin math; I figure 2% or 3% could be recaptured from pilot pay, DGS and Delta resources for this change. That's less than my cable TV bill in after-tax money. If there is an extrinsic virtue here, it needs to be considered.
Bucking Bar is offline  
Old 06-30-2014, 01:49 PM
  #161452  
Da Hudge
 
80ktsClamp's Avatar
 
Joined APC: Oct 2006
Position: Poodle Whisperer
Posts: 17,473
Default

Originally Posted by gzsg View Post
Nice try to get the focus off you selling us out for the management tool you are.

None of my posts have anything to do with DPA.

Let's focus on you and sailing not selling concessions during record profits.
Jerry,

Is a run of the mill line check airman a management tool? If so, then yes tsquare and sailing are management tools.

You cheapen your message when you throw the management tool thing around so flippantly.
80ktsClamp is offline  
Old 06-30-2014, 01:56 PM
  #161453  
Gets Weekends Off
 
Joined APC: Oct 2009
Posts: 3,108
Default

Originally Posted by alfaromeo View Post
Without any comment on the wisdom of pay banding, at least the discussion should center around the facts rather than wild speculation.

If you want to figure out the productivity gains from pay banding you would start with the average number of non-new hire pilots that are in the upgrade training pipeline (from initial academics through IOE completion) on any given day. Continuing qualification training would not count as that would stay unchanged with pay banding.

You would use a daily average because we have training starting and ending each day of the month and a variable amount of crews are in training in any one day. You would exclude new hires because no matter what the pay structure is, you will have to give them training when they get hired.

My guess is the daily average is in the 100-150 pilot range. It was lower before but training has been going up lately. Maybe someone with training center connections has a better number.

For the sake of discussion, let's use 150. If you go to pay banding, you will not be able to eliminate all training, because pilots will still jump between bands and from first officer to Captain. Let's estimate that we would save 1/3 of training by going to pay banding. That means you would save on average 50 pilots per year from pay banding.

If you try to say it's 1800 pilots, that means you would estimate that there are 5400 pilots in training at any one time, again assuming you save 1/3 of the training events. Even if you predict you will save 100% of training events (an impossibility unless you lock every new hire into one seat, including Captain seats, and keep them there until retirement) you would need to average 1800 pilots a day in training to save 1800 jobs. In other words, every Delta pilot would change jobs in 12 months or less. That does not seem plausible.

Attack away, but at least attack with facts not wild hyperbole.
XXXX (don't out someone unless they have outed themselves intentionally)

Let's say we have 900 retirements in 12 months. Each retirement results in 6 initial training events. 5400 initial training events. Pay banding will mitigate this in a huge way. Again I estimate 8 to 10 initials per retirement.

The major point is why make concessions during record profits?

Jerry

Last edited by 80ktsClamp; 06-30-2014 at 06:35 PM.
gzsg is offline  
Old 06-30-2014, 01:57 PM
  #161454  
Gets Weekends Off
 
newKnow's Avatar
 
Joined APC: Feb 2007
Position: 765-A
Posts: 6,844
Default

Originally Posted by 80ktsClamp View Post
Jerry,

Is a run of the mill line check airman a management tool? If so, then yes tsquare and sailing are management tools.

You cheapen your message when you throw the management tool thing around so flippantly.
+757.


I think I'm on his side, for the most part. But, then I read that, and I'm against him.

We should be aiming high for the next contract (max pay, work rules, benefits, vacation, etc.). We shouldn't be aiming at each other.
newKnow is offline  
Old 06-30-2014, 02:00 PM
  #161455  
Gets Weekends Off
 
Joined APC: Oct 2009
Posts: 3,108
Default

Originally Posted by tsquare View Post
OK wiseguy. Same bet to you that I offered Carl. 50 thousand dollars says that I will not sell one damned thing until there is a vote. When we have a TA, I will sell nothing. Put your money where your mouth is Jerry.. Heck if I can get all the DPA clowns to take the bet I'll retire after the contract is signed.

You talk really big, but you don't back it up. Accuse me of selling concessions... let's get it on.

Or are you scared?

We can even have jury selection to see if I break the rules. I figure we can come up with 5 people on here to judge whether or not I was selling anything. You are so confident, you have nothing to lose.

Happy to hear you won't be advocating concessions. Hope it's contagous.
gzsg is offline  
Old 06-30-2014, 02:03 PM
  #161456  
Gets Weekends Off
 
Fly4hire's Avatar
 
Joined APC: Oct 2005
Position: Left, left, left right left....
Posts: 911
Default

Originally Posted by alfaromeo View Post
Without any comment on the wisdom of pay banding, at least the discussion should center around the facts rather than wild speculation.

If you want to figure out the productivity gains from pay banding you would start with the average number of non-new hire pilots that are in the upgrade training pipeline (from initial academics through IOE completion) on any given day. Continuing qualification training would not count as that would stay unchanged with pay banding.

You would use a daily average because we have training starting and ending each day of the month and a variable amount of crews are in training in any one day. You would exclude new hires because no matter what the pay structure is, you will have to give them training when they get hired.

My guess is the daily average is in the 100-150 pilot range. It was lower before but training has been going up lately. Maybe someone with training center connections has a better number.

For the sake of discussion, let's use 150. If you go to pay banding, you will not be able to eliminate all training, because pilots will still jump between bands and from first officer to Captain. Let's estimate that we would save 1/3 of training by going to pay banding. That means you would save on average 50 pilots per year from pay banding.

If you try to say it's 1800 pilots, that means you would estimate that there are 5400 pilots in training at any one time, again assuming you save 1/3 of the training events. Even if you predict you will save 100% of training events (an impossibility unless you lock every new hire into one seat, including Captain seats, and keep them there until retirement) you would need to average 1800 pilots a day in training to save 1800 jobs. In other words, every Delta pilot would change jobs in 12 months or less. That does not seem plausible.

Attack away, but at least attack with facts not wild hyperbole.
Alpha,

Doesn't John Bell do a move in/out of category matrix with every AE? Take a years worth and that will give you the total number of initial training events for a year. I'm sure the MEC office has the numbers in any case. Of course that doesn't account for forward looking increases in training.

If you use your average of 150 pilots in other than new hire and CQ on any given day and that a initial course is an avg of 5 weeks, back of the napkin would be 150/5 week training events into 52 weeks, or 1500 other than new hire/CQ training events per year. With a 1/3 reduction with pay banding that would be a 500 pilot training event reduction per year.

Not sure would that would equate to in a reduced pilot list, but I don't think it's either 500 or 50.
Fly4hire is offline  
Old 06-30-2014, 02:07 PM
  #161457  
Gets Weekends Off
 
newKnow's Avatar
 
Joined APC: Feb 2007
Position: 765-A
Posts: 6,844
Default

Originally Posted by RonRicco View Post
Management would love number 1, but every line holder out there would not.
Yeah. I'm sure you are right. I wonder if even more senior people will bid reserve though. What do you think about option #2?
newKnow is offline  
Old 06-30-2014, 02:33 PM
  #161458  
Gets Weekends Off
 
Joined APC: Oct 2009
Posts: 3,108
Default

Originally Posted by 80ktsClamp View Post
Jerry,

Is a run of the mill line check airman a management tool? If so, then yes tsquare and sailing are management tools.

You cheapen your message when you throw the management tool thing around so flippantly.
What do you call this? Intelligent debate? You give, you get.

Staving off management's attack on our profit sharing and pursuing pay banding are game changers. Not to be disregarded as doughnut talk.

Jerry



Originally Posted by tsquare
blah blah blah..... dounghnut talking points all around.


When's the vote Jerry?
gzsg is offline  
Old 06-30-2014, 02:55 PM
  #161459  
Gets Weekends Off
 
Joined APC: Apr 2008
Posts: 1,619
Default

Originally Posted by Fly4hire View Post
Alpha,

Doesn't John Bell do a move in/out of category matrix with every AE? Take a years worth and that will give you the total number of initial training events for a year. I'm sure the MEC office has the numbers in any case. Of course that doesn't account for forward looking increases in training.

If you use your average of 150 pilots in other than new hire and CQ on any given day and that a initial course is an avg of 5 weeks, back of the napkin would be 150/5 week training events into 52 weeks, or 1500 other than new hire/CQ training events per year. With a 1/3 reduction with pay banding that would be a 500 pilot training event reduction per year.

Not sure would that would equate to in a reduced pilot list, but I don't think it's either 500 or 50.
Just to be clear, my guess at 150 is simply a guess. I don't have access to any current data. Maybe it's more or less. My point was to show that if you want to calculate the savings, start with the number of pilots in training in any one period, figure out the savings created with pay banding (surely much less than 100% savings), and then figure out the jobs saved.

In your example, you save 500 training events at 5 weeks per event. That means that each training event costs Delta 5 out of 52 weeks of pilot productivity or 9.6% of a pilot's yearly productivity. Multiply 9.6% x 500 saved events and you come up with about 48 pilots. I would think the actual number is north of that savings.

As you said, there is surely better data out there and that would be the best starting point to have an intelligent discussion about which way the pilot group wants to go.

The other issue to discuss about pay banding is the cost savings to the company for stuff that does not affect pilot staffing. For example, they would save in simulator time, hotel costs, DGS staffing, and many other items that Delta spends money on, but doesn't end up in a Delta pilot's pocket.

That was one of the items exploited in C2012. The reason we ended up 41% ahead of our industry competitors was because much of the money to fund our contractual increases came from entities that Delta would have paid money to other than pilots. DCI contractors, engine overhaul, fuel expense, landing fees, and many other items were saved by the shift from DCI to mainline, meaning we use fewer airframes to fly the same or greater capacity. This shift in funding gave us returns that were as far ahead of industry average as I have ever seen any pilot group.
alfaromeo is offline  
Old 06-30-2014, 03:08 PM
  #161460  
Gets Weekends Off
 
Joined APC: Apr 2008
Posts: 1,619
Default

Originally Posted by Bucking Bar View Post
Thank you for popping up on frequency for this topic. My concerns are more along the lines of:
  • How would pay banding effect us in a category and status merger?
  • What are the effects on top line scope of pay banding (JV negotiations)?
  • What are the effects on small jet (permitted flying arrangements) as a result of pay banding?
  • What is our competitive environment? What are other airlines doing?
IMHO now may be the time to get the maximum benefit from this kind of change because we know management is having a training problem. During a down turn pay banding delivers nothing.

What are your preliminary thoughts on pay banding's effects on mergers and scope negotiations? If we combined pay banding with scope recapture, I could be sold on the idea.

Back of the napkin math; I figure 2% or 3% could be recaptured from pilot pay, DGS and Delta resources for this change. That's less than my cable TV bill in after-tax money. If there is an extrinsic virtue here, it needs to be considered.
I don't see pay banding as affecting mergers. In the UAL/CAL case there were numerous examples of aircraft that were treated as separate categories even though they were in the same pay band.

I don't see how scope issues would be directly affected by pay banding. Adding small jets to our contract at current industry standard rates creates a whole set of pay/training issues. Using pay banding to restructure the first ?? years of pilot pay might solve some of those problems. (Don't know what ?? is)

Both United and American have pay banding. Southwest of course only has one pay rate. Right now, our pay system is probably more of an outlier in the industry rather than the norm.

For sure, if you want to get the most value out of pay banding, you would do it sooner rather than later.
alfaromeo is offline  
Related Topics
Thread
Thread Starter
Forum
Replies
Last Post
On Autopilot
Regional
22594
11-05-2021 07:03 AM
AeroCrewSolut
Delta
153
08-14-2018 12:18 PM
Bill Lumberg
Major
71
06-13-2012 08:36 AM
Quagmire
Major
253
04-16-2011 06:19 AM
JiffyLube
Major
12
03-07-2008 04:27 PM

Posting Rules
You may not post new threads
You may not post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are On
Pingbacks are On
Refbacks are On



Your Privacy Choices