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Old 10-14-2009, 02:10 PM
  #151  
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Originally Posted by acl65pilot View Post
Medical cannot get much worse than what we have. My medical at ASA was like our old medical here.
Compass has exactly what NWA has for medical.

I think you'd be surprised at the value of health care as provided by Delta against what you had at ASA. Delta's COBRA premiums are substantially higher (around $1200 per month compared to $900 per month), meaning their all in cost per family is much greater than ASA's. That probably comes with having a much higher percentage of full time employees, an on average older workforce, and a higher percentage of employees with families. Those are all competitive disadvantages highlighted in the economic fight for flying smaller aircraft. Just because the benefit is the same doesn't mean the cost is the same. Cost is based on useage.
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Old 10-14-2009, 02:29 PM
  #152  
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Originally Posted by slowplay View Post
Compass has exactly what NWA has for medical.

I think you'd be surprised at the value of health care as provided by Delta against what you had at ASA. Delta's COBRA premiums are substantially higher (around $1200 per month compared to $900 per month), meaning their all in cost per family is much greater than ASA's. That probably comes with having a much higher percentage of full time employees, an on average older workforce, and a higher percentage of employees with families. Those are all competitive disadvantages highlighted in the economic fight for flying smaller aircraft. Just because the benefit is the same doesn't mean the cost is the same. Cost is based on useage.
I will not argue that. You have the data and I do not. I will also submit that places like EV are graduating to a more mature workforce as well. That is another aspect of increased costs for the DCI operators.

On a singular level, when we had my child at ASA I did not pay one cent towards any of the L and D costs. To have a child here would be a few thousand bucks. Our Medico prescription coverage is pathetic. My wife's company is with a competing provider and when I pay 50 bucks for a prescription she pays five. I look at my situation and my out of pocket plus premiums here are at least 20% higher YOY.

I also get the total cost concept of a DCI provider versus us. If you look at EV, their mechanics top out under 50K their FA's top out at 30 dollars an hr and their pilot top out in the low 100's. What I argue with is the margins we pay to these corporations. Hundreds of millions of dollars in guaranteed and incentive based margins are paid out to duplicate corporate entities each year. It is my opinion that if we took all of these charges, rationalized the pass though, assumed costs et al that DAL carries and apply it to our cost structure here at DAL, yes, we probably cost marginally more, but there would be a quality control element that our branding image needs.

I get that the frosting on the cup cake has no place at the table, but our bosses and their bosses have been slamming their gray matter in to unmovable objects for many years to get DCI to apply the desired consistencies to their product, our product. It does not work. DAL wants to focus on customer service, well lets point out a few things.

1) our AS code share works real well in LAX and SEA when the customer has to make some very inconvenient terminal transfers.

2) Our AF flights out of JFK do not depart out of one of our terminals. Though easier it is still a pain

3) With DCI it is always something. Our EV brothers had a memo come out about "unprofessional" P.A. announcements when a gate was not available. (I could go on)

Point is that as you mentioned, it is not just SJS, but Scope in general that we as a group need to attack with vigor. We need to make it a priority of our elected and appointed pilot leadership to engage our company in making its product the best it can be. To me that involves a cost. The cost is to pay a little more on the front end to deliver the product that a "World Class Airline" needs to deliver to remain relevant in the domestic and international markets.

After the blood letting since 2001 in this industry we are all equal in cost. Pricing power no matter how marginal will come from a positive customer service experience. "On Time with their bags", as our leader puts it. Even person as pragmatic as he realizes that to make money you need to sped money.

In the end we need to make the case, and I have no doubt that we will. Each and every day a person becomes educated and informed we move closer to the day where our unity will deliver a "Wall of Support" that we must have to obtain these changes.
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Old 10-14-2009, 05:31 PM
  #153  
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Originally Posted by slowplay View Post
In spite of Carl's opinion, I've never seen a truly successful negotiation on contract economics take place when a company didn't have profitable prospects. I have seen succesful scope negotiations take place in down contracts outside of bankruptcy. The scenario you describe is exactly how I think we'll redraw the 76 seat line.

Now I'll wait for the lightning strikes and C4 to tell me how wrong I am...
No lightning strikes, just a reminder of what you said. You said we may get gains in 2012 if the company is "solidly profitable." I disagreed with that thesis. Now you're saying "profitable prospects." By George, I think you're comin round to ol Carl's way of thinking.

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Old 10-14-2009, 05:35 PM
  #154  
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Originally Posted by Carl Spackler View Post
No lightning strikes, just a reminder of what you said. You said we may get gains in 2012 if the company is "solidly profitable." I disagreed with that thesis. Now you're saying "profitable prospects." By George, I think you're comin round to ol Carl's way of thinking.

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Old 10-14-2009, 06:08 PM
  #155  
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Originally Posted by slowplay View Post
Let me turn the question around on you. If you were management, why would you bite on a proposal to substantially increase your costs above what exists in the current book?

Also, what happens to the number of permitted 76 seaters if you add 36 more mainline aircraft?

What happens if you get E-190/195 on the property with different rules and rates?

What is the upside for management?
US Air has much lower labor costs than Delta - what was the upside for the NWA merger?

The easy win / win is to bring Compass pilots on board, give them Delta numbers, at their current book. Just as we merged the Delta PWA, we could cut and paste the Compass PWA as the E175 rate. Cost neutral.

We already have an E195 rate and contract. If management wanted to operate the E170 through E195 with the same pilots, then THEY would have to decide if it was worth operating the whole lot at the E195 rate, or better to take the inefficiency of splitting the pilots.

As part of the deal the fleet trigger numbers would have to be adjusted to reflect "status quo" bringing 36 airplanes to mainline. Mainline goes up 36, the Compass loophole is deleted and the permitted number is reduced by 36 jets.

Delta can merge operations if they want, or keep them separate. That's a management choice. I just want those who perform Delta flying to have Delta numbers, for their pilots to stand with us, and for those to be Delta airplanes.

Unity can be cost neutral.

Last edited by Bucking Bar; 10-14-2009 at 06:46 PM.
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Old 10-14-2009, 06:11 PM
  #156  
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Originally Posted by Bucking Bar View Post
US Air has much lower labor costs than Delta - what was the upside for the NWA merger?

Again, the problem is not the details. The problem is that those in power simply don't want unity with a 76 seat operator.

The easy win / win is to bring Compass pilots on board, give them Delta numbers, at their current book. Just as we merged the Delta PWA, we could cut and paste the Compass PWA as the E175 rate. Cost neutral.

We already have an E195 rate and contract. If management wanted to operate the E170 through E195 with the same pilots, then THEY would have to decide if it was worth operating the whole lot at the E195 rate, or better to take the inefficiency of splitting the pilots.

As part of the deal the fleet trigger numbers would have to be adjusted to reflect "status quo" bringing 36 airplanes to mainline. Mainline goes up 36, the Compass loophole is deleted and the permitted number is reduced by 36 jets.

Delta can merge operations if they want, or keep them separate. That's a management choice. I just want those who perform Delta flying to have Delta numbers, for their pilots to stand with us, and for those to be Delta airplanes.

Unity can be cost neutral.
You have surfaced!
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Old 10-14-2009, 06:20 PM
  #157  
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Originally Posted by Sink r8 View Post
You're correctly latching on to the theory that the "Church of Unity First" seems not to have much of a plan (dogma first, details later: Bar can't even bring himself to talk about what an "extension" entails, because it's not lofty enough, or critical enough of Moak).
What?

Find where I've been critical of Moak. I've mostly talked about the gains he got during record high fuel prices, then a downturn, his work keeping the merger on track and his (including our MEC's and Comm folks work) keeping this merger working smoothly fof the benefit of pilots.

Yes, we disagree on DCI, but overall he and the MEC have done a GOOD job.

I'm not sure what you mean by an "extension" but if you mean extending the list down to capture Compass - I've written pages debating pragmatic ideas on how to achieve unification.

But getting bogged down in the details is just a convenient way of doing nothing while giving the appearance of wanting to do something. I thought we should begin with a economic study of unity positions and worked to pass a resolution the LEC request that start to the MEC. That's the limit of my authority to do anything.

What else do you suggest I (or anyone else) do? I'm perfectly open to suggestions. Nothing I've tried has worked so far.

Last edited by Bucking Bar; 10-14-2009 at 06:47 PM.
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Old 10-14-2009, 06:28 PM
  #158  
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Originally Posted by slowplay View Post
... regaining 76 seat flying. I think it is a very achievable and worthy goal, and I've written such in the "latest and greatest" thread. But I'm not focused on 76 seat scope, I'm focused on Delta pilot scope. That includes AK and other codeshare/JV flying that's not currently done by Delta pilots.

If it can be done profitably by Delta, then Delta pilots should fly it.

I am done giving. I will give nothing for enhanced scope. I will, however, bargain for scope gains that will pay dividends for existing Delta pilots. You're flat out wrong if you think there's anybody on this airline that is too senior to be affected by Scope. What's the number 1 seniority number at Midwest worth? How about what TWA's lack of scope allowed in their acquisition by AMR?

As you point out in your statement, the future will provide opportunities for negotiation. We will need a confluence of events to provide the leverage to extract all the various gains (or restoration if you prefer) we seek. In spite of Carl's opinion, I've never seen a truly successful negotiation on contract economics take place when a company didn't have profitable prospects. I have seen succesful scope negotiations take place in down contracts outside of bankruptcy. The scenario you describe is exactly how I think we'll redraw the 76 seat line.

Now I'll wait for the lightning strikes and C4 to tell me how wrong I am...
Outstanding post. If I can offer one very slight suggestion...

We should not let management profitability decide the scope line. They can always justify making more money without us. Profits are hard to find in this business and there are times that noting we do is profitable. I think we have focus only on getting as much flying as we can for Delta pilots.

I get your point that we might have dropped some of the markets Republic just back-filled us on, but I don't buy that we can't fly a 737 on LAX-Cabo, but Alaska can during the busy winter season.
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Old 10-14-2009, 06:48 PM
  #159  
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Originally Posted by Bucking Bar View Post
Outstanding post. If I can offer one very slight suggestion...

We should not let management profitability decide the scope line. They can always justify making more money without us. Profits are hard to find in this business and there are times that noting we do is profitable. I think we have focus only on getting as much flying as we can for Delta pilots.

I get your point that we might have dropped some of the markets Republic just back-filled us on, but I don't buy that we can't fly a 737 on LAX-Cabo, but Alaska can during the busy winter season.
Amen, and that is the point that we need to change. Profitability is important, and it is not our goal to sink the company, but we should not base our desires solely on how they determine profitability.
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Old 10-14-2009, 07:25 PM
  #160  
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Originally Posted by slowplay View Post
Our views .... stuff slowplay says.....
Now I'll wait for the lightning strikes and C4 to tell me how wrong I am...
I second (third? fourth?...something) the others...great post!
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