Council 1 Update
06-29-2015, 03:31 PM
#1
Gets Weekends Off
Thread Starter
Joined APC: Jun 2008
Posts: 3,716
Council 1 Update
June 29, 2015
Chairman’s Update #2
Fellow Council 1 Pilots,
As I reflect back on the past week sitting in the crew lounge speaking to many of you, it is very apparent to me that the MEC has put you in a bad position by leaving you with the decision of whether or not to ratify this TA without having the data we had to support your decision. As a line pilot with a full understanding of what it takes to be a professional aviator, flying the line, focusing on the safety and security of your passengers and the corporation, it is obvious to me that your primary responsibilities and routine have been challenged by having been saddled with the additional task of researching the Good, Bad, and Ugly of the TA before reaching your final decision. You have been inundated with massive amounts of data, updates, ALPA-P2P volunteers, and your reps in the crew lounge and road shows. You can likely expect this firehose to continue up to the closing of the ballot on July 10 at 1400 ET.
For all you have endured and will continue to, I want to take a moment to personally thank everyone for your patience and professionalism and ask that you continue to be the professionals you are.
In the previous C1 Chairman’s Update, it was extremely important to ensure our C1 pilots had a pro-con view of the TA, something that was only accomplished by a few other councils. This has proven necessary since the road shows and information being distributed by P2P volunteers is concentrating on the good of the TA, with an extra emphasis on pay, pay, pay. Although some cons have been discussed, they are mostly being glossed over with many assumptions and with promises that we will address certain issues later in LOAs or MOUs (Letters of Agreement or Memoranda of Understanding), but no guarantees. The added fear now being pushed is that of rejecting the TA, which would cause the sky to fall, or the world to end. In this update, we will walk down that path together.
Decisions, Decisions
The decision whether or not to take a deal is all about risk assessment. The risk in voting “no” is that you will not be able to get a deal later on that is sufficiently better than the one in hand to satisfy the time value of money (TVM). The risk in voting “yes” is that you are settling for something that is so much less than what you could have held out for that it overcomes TVM while accepting other contractual changes that are less than desirable. What is unfortunate is that the new attempt to alter you decision is fear, fear, and fear.
“If you live in fear of the future because of what happened in your past, you’ll end up losing what you have in the present.” —Nishan Panwar
Fear of Rejection:
· Fear that if we reject the TA, management will refuse to talk to us
· Fear that we could end up in mediation
· Fear that the NMB will look unfavorably on our pilots for rejection of a TA
· Fear of the PEB (Presidential Mediation Board)—fear-mongering at best this early in the process, especially since we agreed to open six months early.
o By jointly filing, priority is given to assigning a mediator, a past practice of the NMB.
o More importantly, nothing prevents us from negotiating after jointly filing—in fact, it is encouraged. No fear here.
It is simply not fair to state a position to the pilots that not agreeing to this TA now would lead us into mediation, NMB, PEB much sooner rather than later; this it is not necessarily the case.
If the TA Fails, Then What?
When speaking to many pilots in the lounge, and we asked this question, you actually knew the answer. You continue to work under your current PWA. It is still in effect. It does not expire or vanish into thin air.
· The PWA remains amendable on December 31, 2015. I would fully expect both parties to continue working out their differences prior to that date, why wouldn’t we?
· Current Profit Sharing remains the same
· Current staffing remains the same
· Current sick-leave protections remains the same
· Current LCP OE trip-drop rules remain the same
· Current Scope and JV provisions remain in effect
· 3 B.4. language remains in effect, giving us up to 3% raises in the coming years
· The MEC will meet to determine a plan for moving forward to discuss any potential changes necessary to personnel, strategy, and logistics moving forward
· As we have already shown, we will continue to bargain in good faith as required under the RLA. Again why wouldn’t we? Why wouldn’t the company? Have any of their issues been addressed?
· March 1, 2016, is the date either party may request assistance from the NMB
· Finally, we will get to see the results of our hard work under the current PWA when second-quarter results are out, while we continue to we work on improvements
The initial 8% hourly pay increase in the TA is offset by some 4% with the JV production balance, sick leave, and productivity concessions for a net increase of roughly 4%. Next year, the 6% is almost totally offset by the profit-sharing conversion (assuming a PTIX of at least $6B), but we get about 1% more in vacation and training pay. Any raises granted to more than 30% of our fellow employees will be matched for us, up to 3% annually. In all, all we realistically stand to lose the initial net increase of 4%. Not nothing, but worth the risk, in my opinion, given the likelihood of getting something more palatable and substantial.
With no change to the PWA, the Company will continue to be out of compliance with the AF JV production balance. Their issues with DCI will only grow. The profit sharing they pay to the other employees will only grow. Their staffing issues will only grow. We believe that we would be successful in our efforts to re-engage with the Company at the earliest opportunity to find appropriate ways to continue the successes of Delta Air Lines, resolve issues of concerns to both sides, and continue our partnership with management to our mutual benefit.
To say that this is the most favorable negotiating environment would be an understatement. No other airline in the history of aviation has produced the profits that Delta is now producing. If there was ever a time to reach a “historic” agreement, this is the time. Think about the whole TA that you will be voting on.
Most importantly, fear should not drive you to make an unfavorable decision just because others are married to the TA. While the MEC was considering whether to approve this TA for membership ratification, senior ALPA counsel stated, “It would be better if the TA was rejected by the membership rather than the MEC.” If the Delta pilots reject this TA it would be the first time in history.
I have faith that management will not drag their feet and not budge from the table, especially when Delta has the opportunity to make $6 billion in profits and offer $5 billion in stock buybacks. We are firing on all cylinders, striving to outpace our competitors, attempting to claim the J.D. Power Award, and upgrade to industry-grade rating. I do not believe that management would be willing to undo any of the good will we have all strived for to be the best. I am not willing to buy the notion, as it is being sold, that our management team would simply turn their back on us. Negotiations with Alaska and Boeing have proven their track record of not walking away from difficult negotiations. Why would they leave any doubt with the investment community that Delta values its labor peace and happy employees?
I have been asked whether I am mad at management over this process? Absolutely not! This is negotiations. It is nothing personal or emotional. I am a labor representative for the pilots and represent your interests. Management showed up and simply out-negotiated us; we failed to push back early on, even when the MEC had its concerns. It has been widely stated that, in any negotiations, “You don’t get what you deserve, you get what you negotiate.” That sums up where we are. I am not willing to let the current fear being used in the sales pitch to move me from the pilots’ directives. You simply deserve better.
As I have stated, the burden to vote the TA has been unduly laid upon your shoulders, and the decision as to whether to accept or reject the TA is now in your hands. Your decision will set the stage for us, and the entire industry for decades to come.
I have not and will not tell you how you should vote. I only urge you to look at this TA as though anything you agree to will be in this PWA forever. Then ask yourself will this help or harm me and my fellow pilots? Do not let fear determine your final vote.
F-E-A-R: Has two meanings:
· Forget Everything And Run, or
· Face Everything And Rise
Fraternally,
Chairman’s Update #2
Fellow Council 1 Pilots,
As I reflect back on the past week sitting in the crew lounge speaking to many of you, it is very apparent to me that the MEC has put you in a bad position by leaving you with the decision of whether or not to ratify this TA without having the data we had to support your decision. As a line pilot with a full understanding of what it takes to be a professional aviator, flying the line, focusing on the safety and security of your passengers and the corporation, it is obvious to me that your primary responsibilities and routine have been challenged by having been saddled with the additional task of researching the Good, Bad, and Ugly of the TA before reaching your final decision. You have been inundated with massive amounts of data, updates, ALPA-P2P volunteers, and your reps in the crew lounge and road shows. You can likely expect this firehose to continue up to the closing of the ballot on July 10 at 1400 ET.
For all you have endured and will continue to, I want to take a moment to personally thank everyone for your patience and professionalism and ask that you continue to be the professionals you are.
In the previous C1 Chairman’s Update, it was extremely important to ensure our C1 pilots had a pro-con view of the TA, something that was only accomplished by a few other councils. This has proven necessary since the road shows and information being distributed by P2P volunteers is concentrating on the good of the TA, with an extra emphasis on pay, pay, pay. Although some cons have been discussed, they are mostly being glossed over with many assumptions and with promises that we will address certain issues later in LOAs or MOUs (Letters of Agreement or Memoranda of Understanding), but no guarantees. The added fear now being pushed is that of rejecting the TA, which would cause the sky to fall, or the world to end. In this update, we will walk down that path together.
Decisions, Decisions
The decision whether or not to take a deal is all about risk assessment. The risk in voting “no” is that you will not be able to get a deal later on that is sufficiently better than the one in hand to satisfy the time value of money (TVM). The risk in voting “yes” is that you are settling for something that is so much less than what you could have held out for that it overcomes TVM while accepting other contractual changes that are less than desirable. What is unfortunate is that the new attempt to alter you decision is fear, fear, and fear.
“If you live in fear of the future because of what happened in your past, you’ll end up losing what you have in the present.” —Nishan Panwar
Fear of Rejection:
· Fear that if we reject the TA, management will refuse to talk to us
· Fear that we could end up in mediation
· Fear that the NMB will look unfavorably on our pilots for rejection of a TA
· Fear of the PEB (Presidential Mediation Board)—fear-mongering at best this early in the process, especially since we agreed to open six months early.
o By jointly filing, priority is given to assigning a mediator, a past practice of the NMB.
o More importantly, nothing prevents us from negotiating after jointly filing—in fact, it is encouraged. No fear here.
It is simply not fair to state a position to the pilots that not agreeing to this TA now would lead us into mediation, NMB, PEB much sooner rather than later; this it is not necessarily the case.
If the TA Fails, Then What?
When speaking to many pilots in the lounge, and we asked this question, you actually knew the answer. You continue to work under your current PWA. It is still in effect. It does not expire or vanish into thin air.
· The PWA remains amendable on December 31, 2015. I would fully expect both parties to continue working out their differences prior to that date, why wouldn’t we?
· Current Profit Sharing remains the same
· Current staffing remains the same
· Current sick-leave protections remains the same
· Current LCP OE trip-drop rules remain the same
· Current Scope and JV provisions remain in effect
· 3 B.4. language remains in effect, giving us up to 3% raises in the coming years
· The MEC will meet to determine a plan for moving forward to discuss any potential changes necessary to personnel, strategy, and logistics moving forward
· As we have already shown, we will continue to bargain in good faith as required under the RLA. Again why wouldn’t we? Why wouldn’t the company? Have any of their issues been addressed?
· March 1, 2016, is the date either party may request assistance from the NMB
· Finally, we will get to see the results of our hard work under the current PWA when second-quarter results are out, while we continue to we work on improvements
The initial 8% hourly pay increase in the TA is offset by some 4% with the JV production balance, sick leave, and productivity concessions for a net increase of roughly 4%. Next year, the 6% is almost totally offset by the profit-sharing conversion (assuming a PTIX of at least $6B), but we get about 1% more in vacation and training pay. Any raises granted to more than 30% of our fellow employees will be matched for us, up to 3% annually. In all, all we realistically stand to lose the initial net increase of 4%. Not nothing, but worth the risk, in my opinion, given the likelihood of getting something more palatable and substantial.
With no change to the PWA, the Company will continue to be out of compliance with the AF JV production balance. Their issues with DCI will only grow. The profit sharing they pay to the other employees will only grow. Their staffing issues will only grow. We believe that we would be successful in our efforts to re-engage with the Company at the earliest opportunity to find appropriate ways to continue the successes of Delta Air Lines, resolve issues of concerns to both sides, and continue our partnership with management to our mutual benefit.
To say that this is the most favorable negotiating environment would be an understatement. No other airline in the history of aviation has produced the profits that Delta is now producing. If there was ever a time to reach a “historic” agreement, this is the time. Think about the whole TA that you will be voting on.
Most importantly, fear should not drive you to make an unfavorable decision just because others are married to the TA. While the MEC was considering whether to approve this TA for membership ratification, senior ALPA counsel stated, “It would be better if the TA was rejected by the membership rather than the MEC.” If the Delta pilots reject this TA it would be the first time in history.
I have faith that management will not drag their feet and not budge from the table, especially when Delta has the opportunity to make $6 billion in profits and offer $5 billion in stock buybacks. We are firing on all cylinders, striving to outpace our competitors, attempting to claim the J.D. Power Award, and upgrade to industry-grade rating. I do not believe that management would be willing to undo any of the good will we have all strived for to be the best. I am not willing to buy the notion, as it is being sold, that our management team would simply turn their back on us. Negotiations with Alaska and Boeing have proven their track record of not walking away from difficult negotiations. Why would they leave any doubt with the investment community that Delta values its labor peace and happy employees?
I have been asked whether I am mad at management over this process? Absolutely not! This is negotiations. It is nothing personal or emotional. I am a labor representative for the pilots and represent your interests. Management showed up and simply out-negotiated us; we failed to push back early on, even when the MEC had its concerns. It has been widely stated that, in any negotiations, “You don’t get what you deserve, you get what you negotiate.” That sums up where we are. I am not willing to let the current fear being used in the sales pitch to move me from the pilots’ directives. You simply deserve better.
As I have stated, the burden to vote the TA has been unduly laid upon your shoulders, and the decision as to whether to accept or reject the TA is now in your hands. Your decision will set the stage for us, and the entire industry for decades to come.
I have not and will not tell you how you should vote. I only urge you to look at this TA as though anything you agree to will be in this PWA forever. Then ask yourself will this help or harm me and my fellow pilots? Do not let fear determine your final vote.
F-E-A-R: Has two meanings:
· Forget Everything And Run, or
· Face Everything And Rise
Fraternally,
06-29-2015, 04:20 PM
#2
Works Every Weekend
Joined APC: Dec 2007
Position: 737 ATL
Posts: 3,506
Pilots who want to defeat this TA --
Print this letter. Hand it out on the crew buses and everywhere else.
We must reach the "low information" voters who never visit this site or Facebook, etc.
ALPA has us badly outgunned. They have unlimited communication resources.
They even go after our wives with their glossy "Table Talk" mailings.
We have to educate people that voting NO is a real option.
Contrary to ALPA's propaganda, the sun will rise on July 11th.
Print this letter. Hand it out on the crew buses and everywhere else.
We must reach the "low information" voters who never visit this site or Facebook, etc.
ALPA has us badly outgunned. They have unlimited communication resources.
They even go after our wives with their glossy "Table Talk" mailings.
We have to educate people that voting NO is a real option.
Contrary to ALPA's propaganda, the sun will rise on July 11th.
06-29-2015, 06:15 PM
#3
The Brown Dot +1
Joined APC: Jun 2009
Position: 777B
Posts: 7,775
Originally Posted by Check Essential
Pilots who want to defeat this TA --
Print this letter. Hand it out on the crew buses and everywhere else.
We must reach the "low information" voters who never visit this site or Facebook, etc.
ALPA has us badly outgunned. They have unlimited communication resources.
They even go after our wives with their glossy "Table Talk" mailings.
We have to educate people that voting NO is a real option.
Contrary to ALPA's propaganda, the sun will rise on July 11th.
Print this letter. Hand it out on the crew buses and everywhere else.
We must reach the "low information" voters who never visit this site or Facebook, etc.
ALPA has us badly outgunned. They have unlimited communication resources.
They even go after our wives with their glossy "Table Talk" mailings.
We have to educate people that voting NO is a real option.
Contrary to ALPA's propaganda, the sun will rise on July 11th.
06-29-2015, 06:27 PM
#4
Gets Weekends Off
Joined APC: Jan 2015
Posts: 105
Originally Posted by iceman49
The initial 8% hourly pay increase in the TA is offset by some 4% with the JV production balance, sick leave, and productivity concessions for a net increase of roughly 4%.
06-29-2015, 06:28 PM
#5
Gets Weekends Off
Joined APC: Jan 2015
Posts: 105
Originally Posted by Check Essential
Pilots who want to defeat this TA --
Print this letter. Hand it out on the crew buses and everywhere else.
We must reach the "low information" voters who never visit this site or Facebook, etc.
ALPA has us badly outgunned. They have unlimited communication resources.
Print this letter. Hand it out on the crew buses and everywhere else.
We must reach the "low information" voters who never visit this site or Facebook, etc.
ALPA has us badly outgunned. They have unlimited communication resources.
06-29-2015, 06:31 PM
#6
The Brown Dot +1
Joined APC: Jun 2009
Position: 777B
Posts: 7,775
Originally Posted by Doug Madsen
JJ is certainly entitled to his own opinion. He is NOT entitled to making up ****. Ask him to verify this. He can't --- and he won't. It's no where near reality.
Just yellin!
06-29-2015, 06:35 PM
#7
Back on TDY
Joined APC: Apr 2008
Position: 747-400 Captain
Posts: 12,487
Originally Posted by Doug Madsen
JJ is certainly entitled to his own opinion. He is NOT entitled to making up ****. Ask him to verify this. He can't --- and he won't. It's no where near reality.
Carl
06-29-2015, 06:44 PM
#8
Super Moderator
Joined APC: Dec 2007
Position: DAL 330
Posts: 6,868
Originally Posted by Doug Madsen
JJ is certainly entitled to his own opinion. He is NOT entitled to making up ****. Ask him to verify this. He can't --- and he won't. It's no where near reality.
Yes only DALPA is entitled to "making up ****" You know like the FO LOE trip drops will only affect 2% of FO's.
Scoop
06-29-2015, 06:58 PM
#10
Gets Weekends Off
Joined APC: Oct 2009
Posts: 3,108
Originally Posted by Doug Madsen
JJ is certainly entitled to his own opinion. He is NOT entitled to making up ****. Ask him to verify this. He can't --- and he won't. It's no where near reality.
The concessions in this TA are so severe they are cutting hiring to 50 a month.
Captain Lewis is right on the money.
Self funding and cost neutral.
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