United Indefinitely Postponing Future Hiring
03-20-2008, 07:54 AM
#21
Gets Weekends Off
Joined APC: Mar 2006
Position: guppy CA
Posts: 5,160
Lbell911, United has 94 737s; 64 737-300s and 30 737-500s. They've been planned to be phased out for several years now, just like the 727 pre-911.
The initial 15-20 are probably coming up on heavy checks and it makes sense to get rid of them. United could probably phase out all 737-500s and half the 737-300s tomorrow just to get to a point where the airline is properly manned.
There are a ton of United pilots who complain about the excessive hours that they have to fly monthly. United could reduce block hours significantly across all fleets and still be undermanned. And with the current wide range of hours that the company can build a pilot's schedule to (65 min to 89/95 max), they would not need to displace or furlough with a reduction in block hours. Furloughing and retraining are very expensive; I'm sure that the company will do their best to avoid any retraining.
The initial 15-20 are probably coming up on heavy checks and it makes sense to get rid of them. United could probably phase out all 737-500s and half the 737-300s tomorrow just to get to a point where the airline is properly manned.
There are a ton of United pilots who complain about the excessive hours that they have to fly monthly. United could reduce block hours significantly across all fleets and still be undermanned. And with the current wide range of hours that the company can build a pilot's schedule to (65 min to 89/95 max), they would not need to displace or furlough with a reduction in block hours. Furloughing and retraining are very expensive; I'm sure that the company will do their best to avoid any retraining.
03-20-2008, 09:37 AM
#22
Gets Weekends Off
Joined APC: Nov 2005
Position: Guppy Capt.
Posts: 1,887
IF the "F" word was to rear it's ugly head, I would hope the union would do something about it. I remember after 9/11, AirTran pilots got together and told the company they would take a hit as far as guarantee, just so no one got furloughed!!!!(Something like that)
One would think with the strong "union" presence at UAL, they would at least look into something like that.?
And it does sound like everyone is working their butts off. People laugh when I say I will be on "reserve" for awhile!!!. Yeah reserve, but working ALL THE TIME!!!
One would think with the strong "union" presence at UAL, they would at least look into something like that.?
And it does sound like everyone is working their butts off. People laugh when I say I will be on "reserve" for awhile!!!. Yeah reserve, but working ALL THE TIME!!!
03-20-2008, 11:18 AM
#23
Gets Weekends Off
Joined APC: Jun 2007
Position: 767/757 CA
Posts: 2,610
I heard this is a HOAX... no confirmation from United TK that hiring/interviews/training has stopped... normally during the peak summer months UAL will pull PIs to fly the line... then start back up.
03-20-2008, 11:33 AM
#24
Gets Weekends Off
Joined APC: Feb 2007
Position: -400 FO
Posts: 300
Hope the "F" word is not true at United. Maybe Kit Darby will change his tune... oh wait, how would he make any money!
A side note. I will be in your TK for -400 training. What hotel was it that the new hire got in a fight at?
A side note. I will be in your TK for -400 training. What hotel was it that the new hire got in a fight at?
03-20-2008, 12:06 PM
#26
Gets Weekends Off
Joined APC: Mar 2006
Position: guppy CA
Posts: 5,160
Originally Posted by Short Bus Drive
Check your email, or Skynet for Sean Donahue's (sp?) message.!!!
I've checked my e-mail, skynet, and UAL ALPA board. I don't see anything from Sean. If you don't want to post it, PM it to me and I'll post it.
03-20-2008, 12:34 PM
#28
Gets Weekends Off
Joined APC: Mar 2006
Position: guppy CA
Posts: 5,160
Ah, found it.
Hello, it's Sean Donohue with a message for Thursday, March 20.
By now you have all heard the company's announcement earlier this week to ground and sell 15-20 of our 737s by the end of the year. Delta made a similar announcement Tuesday to ground 15-20 aircraft this year and is targeting a 2,000 employee reduction. Several other carriers have indicated they are likely to reduce their flying levels this year.
We are responding to the rapid increase in fuel prices by taking actions already laid out in our business strategy - accelerating activity in areas like capacity management while increasing the level of fuel hedging. In short, we are quickly responding to the real and extraordinarily challenging cost pressure that is staring at us and the entire industry.
The economics are simple. The company's fuel spend could increase by more than $1 billion this year. In this environment, flights and markets that were financially challenging at fuel prices a few months ago become much more so at historically high levels. This is not about shrinking to profitability; it is about making sure our network is profitable because flying to markets where the company loses money simply doesn't make sense.
From a Flight Ops Division perspective, we are now re-evaluating our new-hire pilot plans for the remainder of the year. We have canceled all scheduled interviews for future classes. Once we have the new flight schedule from our Route Planning colleagues, we will be able to finalize the new manpower plan for the division.
I have also directed Captain Jim Barnes, our Manager of Operational Efficiency, to develop a call to action plan that will highlight and re-emphasize the operational efficiency learnings that we shared with all pilots several years ago. It is critical that we have consistent adherence in areas like contingency fuel, planned alternates and other fuel efficiency metrics to maximize savings. While we will never compromise the safe operation of any flight, a review of these guidelines and processes is necessary given the current fuel environment. Other fuel improvements are being accelerated throughout the company including reduced APU usage, flight planning enhancements, winglet installations, and ensuring that our UAX partners are delivering on their fuel conservation commitments.
It's important to note, however, that the company has a strong financial foundation in the face of these challenges:
· We had more than $3 billion in unrestricted cash and short-term investments on hand at year-end.
· While we will reduce capital expenses, investments important to maintaining the safety of the operation, and provide a consistent and improving operation and product to our customers and employees, will be made.
· The company has limited debt maturing this year, just $700 million, and $2.3 billion in debt was paid off last year, saving the company $120 million in interest expenses this year and beyond.
· Finally, we are leading the industry in revenue performance and just this past weekend led one of the largest fare increases in recent memory.
In closing, we are prioritizing our efforts and work to minimize the impact on our pilots, while balancing the requirements to quickly and effectively meet these unprecedented cost challenges.
We will continue to keep you updated, and thank you for your continued efforts and professionalism.
Thanks for listening. Fly safely.
Hello, it's Sean Donohue with a message for Thursday, March 20.
By now you have all heard the company's announcement earlier this week to ground and sell 15-20 of our 737s by the end of the year. Delta made a similar announcement Tuesday to ground 15-20 aircraft this year and is targeting a 2,000 employee reduction. Several other carriers have indicated they are likely to reduce their flying levels this year.
We are responding to the rapid increase in fuel prices by taking actions already laid out in our business strategy - accelerating activity in areas like capacity management while increasing the level of fuel hedging. In short, we are quickly responding to the real and extraordinarily challenging cost pressure that is staring at us and the entire industry.
The economics are simple. The company's fuel spend could increase by more than $1 billion this year. In this environment, flights and markets that were financially challenging at fuel prices a few months ago become much more so at historically high levels. This is not about shrinking to profitability; it is about making sure our network is profitable because flying to markets where the company loses money simply doesn't make sense.
From a Flight Ops Division perspective, we are now re-evaluating our new-hire pilot plans for the remainder of the year. We have canceled all scheduled interviews for future classes. Once we have the new flight schedule from our Route Planning colleagues, we will be able to finalize the new manpower plan for the division.
I have also directed Captain Jim Barnes, our Manager of Operational Efficiency, to develop a call to action plan that will highlight and re-emphasize the operational efficiency learnings that we shared with all pilots several years ago. It is critical that we have consistent adherence in areas like contingency fuel, planned alternates and other fuel efficiency metrics to maximize savings. While we will never compromise the safe operation of any flight, a review of these guidelines and processes is necessary given the current fuel environment. Other fuel improvements are being accelerated throughout the company including reduced APU usage, flight planning enhancements, winglet installations, and ensuring that our UAX partners are delivering on their fuel conservation commitments.
It's important to note, however, that the company has a strong financial foundation in the face of these challenges:
· We had more than $3 billion in unrestricted cash and short-term investments on hand at year-end.
· While we will reduce capital expenses, investments important to maintaining the safety of the operation, and provide a consistent and improving operation and product to our customers and employees, will be made.
· The company has limited debt maturing this year, just $700 million, and $2.3 billion in debt was paid off last year, saving the company $120 million in interest expenses this year and beyond.
· Finally, we are leading the industry in revenue performance and just this past weekend led one of the largest fare increases in recent memory.
In closing, we are prioritizing our efforts and work to minimize the impact on our pilots, while balancing the requirements to quickly and effectively meet these unprecedented cost challenges.
We will continue to keep you updated, and thank you for your continued efforts and professionalism.
Thanks for listening. Fly safely.
03-20-2008, 12:46 PM
#29
Gets Weekends Off
Joined APC: Mar 2006
Position: guppy CA
Posts: 5,160
From the way that I read this, interviews have stopped but newhire classes will continue.
One of the things that he mentions, the reduction in debt/cash on hand, is very good. I've looked over United's balance sheet and it's one of the better ones in the industry. While cutting aircraft sucks, it's appropriate for the current environment.
One of the things that he mentions, the reduction in debt/cash on hand, is very good. I've looked over United's balance sheet and it's one of the better ones in the industry. While cutting aircraft sucks, it's appropriate for the current environment.
03-20-2008, 01:21 PM
#30
Moderate Moderator
Joined APC: Mar 2008
Position: Curator at Static Display
Posts: 5,681
Concur
Andy:
I agree...was about to post the same thing.
UAL wannabes:
If you have a class date, it's probably still good.
If you have interviewed, you might get a class later this year.
If you haven't interviewed, you're probably looking at next year.
Crew Planning probably also takes into account that of our 8300 pilots, roughly 1800 are on some type of Leave of absence (mostly Mil). They know these leaves can't last forever, so I would guess they are reluctant to hire a lot of new guys, then suddenly be faced with a glut when the mil guys come back.
I agree...was about to post the same thing.
UAL wannabes:
If you have a class date, it's probably still good.
If you have interviewed, you might get a class later this year.
If you haven't interviewed, you're probably looking at next year.
Crew Planning probably also takes into account that of our 8300 pilots, roughly 1800 are on some type of Leave of absence (mostly Mil). They know these leaves can't last forever, so I would guess they are reluctant to hire a lot of new guys, then suddenly be faced with a glut when the mil guys come back.
Thread
Thread Starter
Forum
Replies
Last Post
