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Originally Posted by Itsajob
(Post 2857008)
Generated revenue is a significant piece of the pie, but leverage at the negotiating table is the biggest piece. Pilots at the legacies all have restrictive scope clauses which force the company to deal with only them. What is left over is sold to the lowest bidder and those companies have to keep cost down to a minimum to be competitive for contracts. The regionals just don’t have the same leverage. If one says no, another will say yes. If United pilots say no, the company is stuck dealing with United pilots.
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Originally Posted by Itsajob
(Post 2857008)
Generated revenue is a significant piece of the pie, but leverage at the negotiating table is the biggest piece. Pilots at the legacies all have restrictive scope clauses which force the company to deal with only them. What is left over is sold to the lowest bidder and those companies have to keep cost down to a minimum to be competitive for contracts. The regionals just don’t have the same leverage. If one says no, another will say yes. If United pilots say no, the company is stuck dealing with United pilots.
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Originally Posted by DarkSideMoon
(Post 2856224)
That would be accurate if no regional passenger ever connected. How much money did a major make off the guy I flew PIA-ORD who had a business class ticket to Hong Kong?
Ask silly questions. Get silly answers. |
Originally Posted by Cujo665
(Post 2856990)
You’re taking it out of the context (not surprisingly) of the discussion comparing the 2500 TT regional guy to the 8000 hour mainline guy.
It’s a question of what the revenue generated can support for wages. Larger planes pay more because they can afford to. But go on trying to pick a fight and argue with everybody. |
Originally Posted by Xjrstreetcar
(Post 2857342)
You are aware there are carriers were all pilots get paid the same regardless of airframe. Some even were the largest is multiples in gross weight compared to the smallest... And there are entire pilot groups that make more than others flying larger equipment that generate greater revenue...
All the leverage in the world won't get you paid above the ability of your equipment to generate revenue. Vast revenue generating capacity won't get you paid above market rate to keep it staffed if you have no leverage. RJ's have relatively little revenue generating capacity and almost no leverage under the whipsaw model. The gains over the last few years were 100% due to market forces (attracting noobs who have options, and trying to retain some lifers who might be on the fence). |
Originally Posted by Itsajob
(Post 2857008)
Generated revenue is a significant piece of the pie, but leverage at the negotiating table is the biggest piece. Pilots at the legacies all have restrictive scope clauses which force the company to deal with only them. What is left over is sold to the lowest bidder and those companies have to keep cost down to a minimum to be competitive for contracts. The regionals just don’t have the same leverage. If one says no, another will say yes. If United pilots say no, the company is stuck dealing with United pilots.
You can have 100% of the leverage, and you’re still not going to get more than the plane’s revenue will support. |
Originally Posted by rickair7777
(Post 2857352)
All depends on two things: Revenue capacity of the equipment and your leverage.
All the leverage in the world won't get you paid above the ability of your equipment to generate revenue. Vast revenue generating capacity won't get you paid above market rate to keep it staffed if you have no leverage. RJ's have relatively little revenue generating capacity and almost no leverage under the whipsaw model. The gains over the last few years were 100% due to market forces (attracting noobs who have options, and trying to retain some lifers who might be on the fence). The gains are entirely due to supply-demand. |
Originally Posted by rickair7777
(Post 2857352)
All depends on two things: Revenue capacity of the equipment and your leverage.
All the leverage in the world won't get you paid above the ability of your equipment to generate revenue. Vast revenue generating capacity won't get you paid above market rate to keep it staffed if you have no leverage. RJ's have relatively little revenue generating capacity and almost no leverage under the whipsaw model. The gains over the last few years were 100% due to market forces (attracting noobs who have options, and trying to retain some lifers who might be on the fence). |
Originally Posted by Xjrstreetcar
(Post 2857383)
How is compensation determined for pilots flying equipment that generate no revenue?
They aren't paid to be pilots, they are paid to be military officers. On exactly the same pay scale as other officers (some of whom in other specialties also get extra hazard/hardship pay). They also pay targeted retention bonuses to try to minimize excess attrition when the airlines are hiring but that only goes goes so far (they cannot offer airline-level pay, and most certainly not to age 65). Civilian pilots? The airlines set the pace there, corporate employers have to pony up quite a bit to attract and retain folks who would be competitive for major airlines. In fact they are feeling the pain right now. You're going to see the bottom of the 91/135 barrel go away for at least a few years. |
I’m gonna go on a limb and say that the little 50 seater can generate just as much revenue per seat mile as the international wide body flights, anyone that disagrees should try to book a one way from let’s say sav-jfk on delta. That flight r/t cost about $600, now go from sav-jfk-ams, that flight cost $900 same days with a bunch more tax. It’s very common for a one leg regional flight to a hub to cost a bunch more than the major charges for connection to a bigger plane. Think of the whole ghost tickets.
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