Ok, let me flip it around.

Change nothing.
No change in our ALV,
No change in our work rules
No change in our staffing
No change in our training backlog
No change in augmented crews
No change in overstaffing on the 777


and increase pilot compensation by 30%

All that would happen is even with all the high cost items at Delta, the pilot portion of CASM would be equal with Southwest.

The difference between DAL and WN has less to do with pilot compensation and more to do with everything else. (Debt, infrastructure, equipment, other employee groups, etc.)

I'm glad we have a sharp team running the ship, improving the CASM with the end result of getting better RASM.

But when we look over the fence we can see that WN has a higher pilot portion of CASM. When you factor in augmented crews at DAL the percentage WN spends in excess of DAL could easily go higher.

I'm saying there is headroom, and if we're all not in training, the headroom grows by another 10 points as seen in the 2009 numbers.

Put another way: If DAL and WN had the same RASM, pilots at Delta are providing 30%+ of the RASM. It's like reverse profit sharing...

Cheers
George

 

Again, I completely agree. No really. Many pilots get caught up in CASM as a whole, and not our percentage of it. Yes, of course it all matters to make a business sustainable, but as you illustrate, we need to look at our portion of it.

We are cheaper than WN, and that is exactly where management wanted us in CH11. Now WN is feeling the pressure, just like they wanted them too. There is room in there for significant gains. We agree! My point is that it would be even more prevalent if we broke these two sides of the operation out. Probably so much so, that the company would not want us to see it.

As I have said on the other thread, SWAPA has help foster in this new era with their willingness to undercut, and now they have to live with the world they helped create. As we can see, there are areas that we can gain in, and with good measure. I still think it is sad that we are using SWA and SWAPA rates and benefits are a benchmark given that their idea of pilot compensation is what imploded the industry. (I know, go rant on the other thread)

 

LOL

FtB's Dog sums up that thread doesn't it ;-)

Agree on the sad state that we find ourselves in, looking at discount carriers as the measuring stick...and some say thats a stretch...

The MIT data is raw, I agree. Many variables will distort the numbers. But underlying all that is one simple truth: pilot costs aren't even close to being the deciding factor in profitability or lack thereof -- haven't been in a long time...

Cheers
George

 

Drunken elk rescued from Swede's apple tree

Published: 7 Sep 11 12:38 CET

A drunken elk desperate for just one more mouthful of fermenting apples lost its balance in the attempt, leaving it stuck in an apple tree in western Sweden.

http://m.thelocal.se/36002/20110907/

 

Its been a weird day. Here's a better one:

Wednesday, September 7, 2011
Arkansas weatherman found laying next to naked dead man in hot tub

Dexter Williams, 24, was found dead in an empty hot tub with a dog collar around his neck.

Arkansas weatherman found laying next to naked dead man in hot tub | Weird News - The BIG One - WTAM 1100

 

You are correct again. It comes down to debt service, who holds the debrt, what can become a operational fee instead of a debt payment, etc. We are debt owned and outsourcing that debt off of our balance sheet and making is a cash flow position is all of the rave.

 

Delta Air Lines Inc. (DAL), the world’s second-biggest carrier, is cutting 200 administrative and management jobs after finding 2,000 voluntary buyouts didn’t reduce operating expenses enough.
The reductions are occurring across the airline in all administrative job categories, Keyra Lynn Johnson, a Delta spokeswoman, said in an interview today. Employees will leave the airline over the next several months, she said.
More than 2,000 employees, or about 3 percent of the company’s workforce of 80,000, took voluntary buyout and early retirement offers in July. The Atlanta-based airline also is reducing expenses by retiring older less efficient airplanes and consolidating facilities.
“We knew we’d met our needs on the front line” with the voluntary buyouts, Johnson said. “We did have additional cost savings we needed to achieve on the management and merit side. This is a larger cost initiative as we combat the high price of fuel and other industry pressures.”
Employees who lose their jobs will receive enhanced severance payments, company-paid health insurance for a period of time, travel benefits and career transition assistance, Johnson said.

 

Not a good sign....

 

OR, a good sign. Management deadwood leaving instead of pilots? Could be a good thing.

 

Check,

I am also 100% against trip parking, but am not willing to go so far as to characterize it as a "violation." Ironically, it is the contract that, unfortunately, permits it. I think it is a loophole that guys will exploit for their benefit. I wish the union would try to get the company to close the loophole, but for whatever reason they seem to be OK with it.

Regarding trip parking in particular - there is no reason it should survive C2012.

Scoop