View Poll Results: How do you want to furlough?
Full Pay, Last Day
91
69.47%
2 Kinds of Pain
7
5.34%
Keep Everyone
33
25.19%
Voters: 131. You may not vote on this poll
Poll: Furlough Options
#41
Banned
Joined APC: Mar 2018
Posts: 1,358
Agreeing to a lower line value but keeping the original pay rate is a much safer bet than agreeing to a cut in the rate, even with a snap back date. The company doesn’t really want inefficient pilots, they want cheap ones. When demand returns the company would want to do away with unproductive line values, they wouldn’t want to do away with lowered rates.
#42
You need to keep in mind management's goals when considering this question. In a downturn they are bleeding money and that has to stop. A company cannot continue to lose money month after month. Management is responsible to stop that from happening. We, as labor, might want them to throw all that money our way, but that isn't their job. If they aren't bringing more money in than they are spending, they have to fix that immediately.
And there are two conflicting considerations when it comes to pilots. One is that in the long term, it's more cost effective to have fewer pilots working more hours. Each pilot costs overhead. Health insurance, parking pass, CQ, line checks, all the various administrative stuff. Additionally, if the number of block hours they can sell is less than the MMG of their pilots, then they're paying the difference with no benefit. This would lead them to immediately furlough as many pilots as necessary to have everyone flying 90-100 block per month.
On the other side, for every two pilots you furlough, you have to do downgrade training for one, plus rehire and retrain when you bring them back. That takes both time and money.
Normally MMG isn't a big pay issue because management wants everyone to fly as close to that 100 hour limit as possible. As long as you don't give up pay rates, any loss of MMG should be temporary or irrelevant. You do need to be careful that your pilots can still put food on the table with whatever MMG you agree to go down to though. Taking MMG down to 10 hours per month to keep everyone just means everyone starves. There is a happy medium. Obviously, at the regionals where pay rates are lower, you need a higher MMG to keep food on the table than you would at a major.
And there are two conflicting considerations when it comes to pilots. One is that in the long term, it's more cost effective to have fewer pilots working more hours. Each pilot costs overhead. Health insurance, parking pass, CQ, line checks, all the various administrative stuff. Additionally, if the number of block hours they can sell is less than the MMG of their pilots, then they're paying the difference with no benefit. This would lead them to immediately furlough as many pilots as necessary to have everyone flying 90-100 block per month.
On the other side, for every two pilots you furlough, you have to do downgrade training for one, plus rehire and retrain when you bring them back. That takes both time and money.
Normally MMG isn't a big pay issue because management wants everyone to fly as close to that 100 hour limit as possible. As long as you don't give up pay rates, any loss of MMG should be temporary or irrelevant. You do need to be careful that your pilots can still put food on the table with whatever MMG you agree to go down to though. Taking MMG down to 10 hours per month to keep everyone just means everyone starves. There is a happy medium. Obviously, at the regionals where pay rates are lower, you need a higher MMG to keep food on the table than you would at a major.
#43
Gets Weekends Off
Joined APC: Dec 2016
Posts: 180
Reducing MMG can significantly reduce labor costs to the company. There's a cost of overhead+unused MMG vs cost of downgrade+retraining. There's an argument to be made that if the expected demand reduction isn't expected to be super long term, then reducing MMG a bit can tilt that equation towards keeping more pilots. If it is going to be very long term, then the company will furlough and the reduced MMG may be a factor for reserves, so a month to month or snapback timeline is appropriate.
#44
Reducing MMG can significantly reduce labor costs to the company. There's a cost of overhead+unused MMG vs cost of downgrade+retraining. There's an argument to be made that if the expected demand reduction isn't expected to be super long term, then reducing MMG a bit can tilt that equation towards keeping more pilots. If it is going to be very long term, then the company will furlough and the reduced MMG may be a factor for reserves, so a month to month or snapback timeline is appropriate.
Mid-term, it might be a consideration if they are afraid it will cost more to furlough/recall if demand rebounds relatively soon (like 2021 vice 2025). However... it's going to be a very hard sell to any pilot who thinks he's furlough proof. The top 70%-ish probably have no interest in giving up a huge amount of pay for years just to keep juniors marginally employed... and you'd need 50%+1 vote to get it approved (few or zero unions still allow MEC's to sign off on pay cuts without putting it to the membership) And employers cannot force that on any union pilot group. Maybe OO, but it could be fought in court as a class-action (and would be IMO if you forced a pay cut on the top 30%).
Long-term (ie airlines think furloughs would be out for 2-3 years+) it's not happening. they will not carry the overhead even if unions agreed to it.
#45
Gets Weekends Off
Joined APC: Feb 2019
Posts: 198
If y’all are in 11 proceedings by November it will be different this time around or at least it can be. This is an election year. The incumbent needs the rust belt very badly. You all are union employees use your voice. This will all come down to public perception and who you can make out to be the bad guy. If you all can master that game you will have the upper hand in bankruptcy and possible “Re”regulation of the Airline industry. But you need to make this about labor and golden parachutes.
#46
If y’all are in 11 proceedings by November it will be different this time around or at least it can be. This is an election year. The incumbent needs the rust belt very badly. You all are union employees use your voice. This will all come down to public perception and who you can make out to be the bad guy. If you all can master that game you will have the upper hand in bankruptcy and possible “Re”regulation of the Airline industry. But you need to make this about labor and golden parachutes.
Probably best to see which way the winds are blowing before they show their hand. An incumbent in time of crisis typically wins, but they might as well wait a month and be sure.
#47
Gets Weekends Off
Joined APC: Feb 2019
Posts: 198
I doubt anybody will file until after the election (IIRC they can't until 01 Oct anyway).
Probably best to see which way the winds are blowing before they show their hand. An incumbent in time of crisis typically wins, but they might as well wait a month and be sure.
Probably best to see which way the winds are blowing before they show their hand. An incumbent in time of crisis typically wins, but they might as well wait a month and be sure.
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